Financial Times , 1982, UK, English

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NANCIAL TIMES

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PUBLISHED IN LONDON AND FRANKFURT

Wednesday January 6 1-982

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Seh. 15; RB&10M fr 30; DENMARK Ki* &Q0; FRANCE Fr BJB; GERMANY DM 2.0; ITALY L 1.000; NETHERLANDS F! 2.25; NORWAY Kr 6.00: PORTUGAL Esc 50: SPAIN Ptaf 85; SWEDEN Kr 8-00; SWITZERLAND Fr 2.0; EIRE 42p; MALTA 30o

BUSINESS

Union leaders fear ‘Wets’ aim Mexican heavy

V nW msv tpWT forbig crude price cut

voie^ uidy reject expansion

'■ \ "■ *W MEXICO has cut the price of which is traded extensive

■J /\hjJ f%A-«T I -jr "■ ils heavy crude by $2 a barrel the international market

rOrtt pay paCKagC package — — —

By Peter Riddell. Political Editor

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■ Inanities orthe eight drowned.
Penlee llfeboatmen will receive
almost afl tbe £2m raised by the
Disaster Fund. f.

SeMemem v^ jcaabed after
talks , between : ithe . fund’s
trustees and Artrtcrjaey General
\ iSSf, MashaeS : Jaasrers. Perrwith
. Cqtiiaai chief executive John
Moom~;. sadd ; Sir Mschael had
agreed- the .fund was a private'

- rather than charitable trust.

Page 6 -, ■

Snowhits North

Snow, slrong winds ana floods'
broi^bt chaos to. much of the
• NbKtiw blocfcmg roads and dis-
rupting rail services. The snow,
is -expected to spread soutii-
wands across mast of Britain
today, :

York was cut off as tine
swollen River Ouse rose 16 ft
4 ins above normal , its highest
-sauce 1947; iBoiice .hope -lower -
temperatures might stem the:
fioods. Weather Back Page

Coup bid charges

Forty: of the 45 said. to have

- been mercenaries involved in an
abortive coup-join the Seychelles
islands will he. charged, under
South Africa’s : antt-td j acfcmg '
law. hge 3;; -,

, GoFak^ite^nger

Arab countries stuped up calls .
for action. _• against . the - U^,
which is likely to voto a UN
Secnritly. Council resolution
ui^ing sanctions against Israel
for annexing-. ■ Syria’s Golan.
Heights* Biek Page „^.' r

■JairedBrlton

British busipessinan 'Andrew' i
Byke, heldwitboutchargeia an
Iranian -|afl -for.::fiie past -16/-;
months, is “fit and. Swell" ' his
father said after returning from .
visiting hint; . ' ^

Creatipnruljvtg

A :U.S. /'judge abolished an ;
Arkansas law compelling schools
to give . - equal 1 balance to
fundamentalist and evolution- ;
ary /views of creation. Page 4

Mortars alert

Royal Ulster Constabulary said
the Provisional IRA ' planned
continued cnmbing from, home-
made mortars in spite of the
proven inaocuracy." Federation
row, ftge.7

Alderson to quit

Devon and -'-Cornwall Chief n
Constable John Alderson, the' ;
59-year-old pioneer of com- .i
munity policing, ' will resign in /
ApriL .Page 6 _

off 0.45

• &m> rose 510 to 84051.

BY IYO DAWN-AY, LABOUR STAFF

• BQ&LAR rose to DM. Z2M
(D*gV£34I>, FFr 5.7375
( mg. 5-685), SwFr L811
(SwFr 1791) and - Y219.50
(Y5P9)- Its trade-weighted index
\ra[ 107.2 (106.4) . Page 22

W^RUNG fell 1,40 cents to
$119125. It rose to DMUL3275
A32), FFr 10i>75
(FFr 10.95) and SwFr 3.465
(SwFr 2.4525), but eased to
-Y420- (Y422). Its trade-weighted
Index improved to 9L4 (9L3)
Page 22

• GILTS were nervous after the
sharp? UJS. money growth
increase and ■ pessimistic long

CRUCIAL MASS meetings take
place today at Ford’s Halewood
and Dagenham plants amid
concern among union leaders
that workers may reject their
recommendations to accept the
company's pay and conditions
package.

Yesterday, workers at a scries
of smaller plants threw out the
offer which includes a 7.4 per
cent_ basic pay rise, higher
pension^ and a 30-hour week.

At Swansea 1.660 workers in
the axle and transmission plant
wcn-t on strike after a mass
meeting voted by almost 2 to 1
to reject the offer.

At Bridgend in mid-
Glamorgan 1,600 workers gave
notice of strike action from
Monday after throwing out the
package.

Shop stewards at Halewood,
where 10,000 assembly and
body plant workers are already
on strike, yesterday voted
unanimously to defy their
negotiators' and recommend
rejection.

* Some 750 workers at the car
kit plant near Dagenham
ignored their union officials and
voted for a strike.

Ford said last night lhat it
was also expecting a majority
for rejection at the 1^00-strong
Belfast plant.

- Ford estimates that accept-
ances yesterday at Southampton,
Enfield, Leamington. Dunton
and Basildon give a 3 to 1
majority in favour of the offer
among the plants that have
polled. These represent about
20,000 of the 54,000 workforce.

Some union leaders admitted
last night that initial returns
indicated that the trend was
running against the negotiators’
recommendation that the offer
be accepted. But no union head-
quarters was prepared to make
a Arm prediction on the outcome.

Mr Ron Todd, chief negotiator
for Ford's 13 unions, said he
was surprised by the Halewood
workers' decision to proceed
with strike, action

He said the shop stewards
had an obligation to put the
national recommendation to the
Halewood meeting.

“If there .is a majority in
favour of rejection, then the
national committee will meet
again to decide on a course of
action,” Mr Todd said.

.The executive of the Amalga-
mated Union of Engineering
Workers. Ford’s second largest
union, yesterday voted unani-
mously to recommend that its
members accept the company's
offer.

Mr Terry Duffy. AUEW
president, said he felt sure
his members would accept, and
urged them to work normally.

“We feel we can trust the
negotiators." he said. “They
have decided that this is the
best possible deal in the circum-
stances."

The AUEW executive's deci-
sion is tantamount to warning
the union's members that they
may not receive £12-a-weck
strike pay.

Mr Moss Evans, general sec-
retary of the Transport and
General Workers’ Union, the
largest at Ford, said last night
that the oniori had ample funds
to sustain a long strike.

The TGWU had set aside £2m
on short-term deposit which
would be sufficient to pay their
40,000 Ford workers £12 a week
for four weeks. A further £16m
could also be made available,
he said.

term interest rate forecasts. The
Government Securities index
was 0.45 down at 61.89. Page 26

EQUITIES also; responded to
the^UJS. influence?, bat the FT
$0^are_ index recovered from
itS lriWSt - to finKfi A2 off at

• WALL STREET, was 15.23
down to ' 867.27 at 3.00; pm.
Page . 24 ... .

• STOCK EXCHANGE., is
expected to publish on Friday
Us proposals for a new com-
missions ; structnre.

• STERLING M3 grew by 0.25
per cent last month, the small-
est rise for more than a year.
Back Page

• UK RESERVES of gold and
foreign currency fell last month
to $23.35bn, a drop of more than
$4bn during the year. Page 6

• BL’s output of cars and car-
derived vans will go up this year
by at least . 14 per cent to
between 460,000 and 500,000,
Chairman .Ray Horrocks said.
Page 6 .

Reagan calls for ‘tangible’
Nato response on Poland

BY REGINALD DALE, UJS. EDITOR IN WASHINGTON

Bilbao kidnap

Gunmen kidnapped 75-year-old
Basque', businessman Jose
Lipperheide from. Iris home in
a Bilbao suburb. ' Page 2

Chifdren drown

Twelve children drowned when
. a canoe ’ carrying- 21 - members
of a family, -capsized in, bad
weaithef on an - Amazon- - river
tributary. - ■ -

Skydfyer dies -

Edith Summers, - a 80-year-old \
British, parachutist, fell 7,500 ft
to her death in Floridor when, her .
chute? failed to op«L'. . J

Indians Test target

India, needing 306, to defeat.
England in the .Calcutta- Test,,
were five for no .wiefeet after
four days. .‘ ' l :

Briefly.. -

Toulouse police recovered radOL
119 machine' guns stolen from
an aims depot in November.
South Korea lifted a midnight
to 4 am curfew imposed in
Seoul since 1945.

Three prisoners escaped -from
Preston jail.

^0 GIRO CREDIT system 'busi-
ness" volume . has dropped
. sharply since the clearing banks
introduced charges last summer.
Page-6

• UB. COAL’. EXPORTS are
expected to rise 10 per cent this
/ear over the 1981 total. Page 4

• WORLD BANK raised $4.1 6bn
on international capital markets
in the- first half of its current
fiscal yOar; Page 19

• THOS: W. WARD, the in-
dustrial bolding, company, fore-
cast a stebrig performance for
the comlhg. year In its detailed
rejection" off the £lllm' take-
over . bid from Rio - Tinto-Zinc
Corporation;.; Page *18; Lex,
BackPage

• ISIS groiqy. ^ consrimotion

and pftaxxt bke . businesses have
been bought irosh United
Zk>mimons Trust ■ under a
management, buy-out' scheme,
page 18 / t «

•MERSEY - DOCKS and
.Harbour Company :is to pay a
. further 2p .per £1 unit to holders
of the subordinated unsecured
loan stock. Page 17

•. PLEASURAMA; the enter-
tainment and- amusement -con-
cern, reported 'pre-tax profits up
from £4.6m to £5J58m in the
year to end-September. Page IA

• HOWDEN GROUP increased
taxable profits from *&D5m <o
£3.37m in the sax months to
end October. Page 14

PRESIDENT Ronald Reagan
yesterday - called for .an im-
mediate . “ tangible " response
by ithe Nate aUtes to the Potash
-maJfrazy. crackdown.

But there was no sign in
taJKs in Washington, that he
had persuaded Herr Helmut
Schmidt, the West German
GbetnoelLor, to follow the U.S.
and impose sanations on the
Soviet Union.

Mr Reagan evtidewnly felt that
the Oommunity’s- response had
not been strong enough and
called for “forceful Western
measures.”

If the West failed to insist
that- the Soviet Union stop
putting pressure on “Poland
directly or imErecliy," there
would be the gravest conse-
quences for international rela-
tions. Mr Reagan said.

Heir Schmidt and Mr Reagan
stressed the importance of
allied and German- American
solidarity at -what the President
called “a critical moment in
world affairs."

It was also dear that they
shared the same three objec-
tives in -relation to Poland —

the -lifting of martial law, the
release of all detainees and the
resumption of a “national
dialogue.”

-But Mr Reagan's stern warn-
ing of the need -to put tangible
pressure on Moscow to achieve
these ends received little echo
from Herr Schmidt.

The Chancellor said only that
be had acted as a representa-
tive of the 10 EEC countries to
relay to Mr Reagan Monday’s
statement by the Community’s
foreign ministers in Brussels.

The statement, which agreed
not -to undercut the U.S.
sanctions but did -nothing to
introduce immediate EEC
sanctions, had been welcomed
by the President

The State Department re-
peated yesterday that while
European sanctions need not
match precisely U.S. actions,
Washington wants “parallel
measures” from its allies.

Many members of the Reagan
Administration are afraid that
Moscow, through its tactic of
sweet talk to - Bonn and tough
talk to Washington, will succeed
in creating serious strains in

the alliance. Herr Schmidt,
however, does not share this
view.

-The Americans also fear that
if the Europeans are not seen
to be following the U.S. in
imposing sanctions, the U.S.
public will become even further
disillusioned with the allies—
and the whole U.S. commitment
to Western Europe could be
endangered.

Herr Schmidt, however, said
earlier this week that the dif-
ferences in the alliance over
Poland were of a “routine”
nature.

Before meeting the President,
Herr Schmidt rejected U.S.
criticism that West German
policy had been too mild
towards Moscow.

He turned the tables on his
American critics by complaining
to a group of senators on Capitol
Hfll that the U.S. had failed to
consult its allies before
announcing last month's
sanctions.

Solidarity leaders may face
exile. Page 2

Greece says it is not bound by

EEC declaration. Back Page

Trafalgar House in takeover
talks on Redpath Dorman Long

BY MAURICE SAMUELSON

TRAFALGAR HOUSE is having
talks with British Steel about
the possible takeover of Red-
path Dorman Long, the corpora-
tion’s loss-making heavy
engineering subsidiary. Trafal-
gar House already has engineer-
ing interests.

Both sides confirmed last
night that talks had been taking
place, but refused to discuss
their outcome or RDL's possible
valuation.

British Steel has been trying
to find a buyer for .RDL since
last May when it said It wanted
to sell up to 60 per cent of its
shareholding. The wholly owned
subsidiary lost £7m after
interest payments last year.

“Trafalgar House is one of
the interests we have been dis-
cussing the future of RDL
with,” British Steel said.

RDL, which employs 5,500
people, is the biggest supplier
of structures for the offshore

industry and has large interests
in civil and process engineering,
and bridgebuildfrng.

Mr Eric Parker, managing
director of Trafalgar House,
said that through its ownership
of Cleveland Bridge and
Engineering, the group was in
.-the same business as RDL.

This week Cleveland Bridge
and Engineering opened a £26m
structural steel works factory
at Darlington, Co. Durham.
Through another subsidiary,
Cleveland Offshore, Trafalgar
owns a module building yard
at Middlesbrough.

Among companies previously
named as possible buyers of
RDL is. Japan's Nippon Steel,
the world's biggest -steel com-
pany.

Last year’s performance by
RDL was considerably better
than in the previous financial,
year when it lost £ 16 m after
interest. The improvement,

— CONTENTS —

accompanied by a flow of orders
for RDL's offshore rig building
yard at Methil. Fife, took place
under the chairmanship of Mr
David Waterstone. who left the
company last week.

Union officials, who heard
about the Trafalgar House talks
before Christmas, are under-
stood to be worried that a take-
over could lead to redundan-
cies.

Mr Parker said last night
that although there had been a
downturn in British Steel’s
business, “ our policy is to
expand.”

£ in New York

previous

Spot 81.B350.M7DS1.S130-917D
1 month 0.40-0.35 dis 0.354J.25 tils
3 months 0.93-0.85 dis 0.80-0.70 d|«
12 months 1.45-1.25 dis 1.10-0.90 dip

CHIEF PRICE CHANCES YESTERDAY

(Prices In pence unless otherwise indicated)

RISES: • Cornell Dresses 155

Anderson Strathclyde $4 + f ' 'g^ i Star — 3 *£,

m 1 1 5SS«i"HSS"”: m

RISES:

Anderson Strathclyde 94 4- 4 '

Greycoat Estates 147 + 7

HaHife 1® + f

Higbgate & Job . — + J

Hoover A ®4 + 4

Scholes-(G. H.) 248 + 8

Ward fT. W.) ......... 218 + 8

Gold Mines of Kfclgle, 368 + 8

. Peko-Wallsend 330 + 10

• FALLS:

Excfa. 14%' *86 £40pd £36}- J
Tress. 134%. 2004-08. £90 - I
Bank of Scotland .- 498 — .10
Barratt Dew£ ......... 210 - 5

Befl- (A-> •; v. 148-6

Berkeley. Hambro, ... 832 - 8
Black Sc Edgmgtoa... 48-4
-Black (Pi) 215 - 8

British Aerospace - &

Midland Bank >... 340 -

Motbercare 155. -

Pearl Assurance 388 -

PlUrington 255 -

Pleasurama 305 -

Quest Automation ... 133 -
Racal Electronics ...428 -
RoyaJ Bk. of Scotland 186; -

Sun Alliance 81& —

Union Discount 400 -

Utd. Engineering ... 253 -

Vickers 144 -

Ward & GoMotone -.106 -

BP 302 “

Double Eagle 40 -

KCA Snt 122 -

World aircraft industry: turbulent times
ahead 12

The train of the future: tilting into
trouble 13

Hie world recession: why oil prices
must remain high 13

Energy review: Germany— spreading the
risks more thinly 8

Commercial law report: cases reported

in Michaelmas Term {Part n) 8

Management: ITFs prospects in tele-
communications 9

Technology: low ' cost computer

power 10

Editorial comment: Greece; money

supply 12

Burnett and Hallamshire: the fastest
growing UK company 23

Amercari Nows 4

Appointments ...... 22

Arts 11

Bass Rates 18

Commoditiei 25

Companies UK 14, 17. 18

Contracts 7

Crossword 11

Entertain. Guide ... 11

European Nawa ... 2

Euromarkets

Euro. Opts

FT Actuaries

imt. Companies ... 19-21

Leader Page 12

Letters 13

Lex • 31

Lombard 13

London Opts 14

Management 0

Men & Matters ... 12

Mining 18

Money & Exchngs. 22

Motor Caro 7

Oversees - New* ... 3

Parliament

Share Information 28, 29
Stock Markets:

London — 26

Walt Street 24

Bourses 24

Technology 10

TV & Radio 8

UK News:

General 0. 7

Labour 7

Unit Trusts 22. 27

Weather 30

World Trade News 4

PROSPECTUS AD
Robert Flemming . 15, 17

AN EXPANSIONARY package'
of £2bn to £3bn is likely to be
advocated by some of the so-
called “wet” Ministers when
the Cabinet: as a whole discusses
the spring budget in about a
month's time.

Their priorities seem to be a
cut in employee’ National
Insurance surcharge, increased
public sector capital investment,
and possibly some action to ease
industry's energy costs. The
“ wets ” generally believe these
measures should come ahead of
any basic rate income tax
reduction.

The debate about the Budget
by the full Cabinet contrasts
with previous practice under
Mrs Thatcher. It follows pro-
tests last year from Ministers
who were upset at not being
consulted before large tax
increases were unveiled by Sir
Geoffrey Howe, the Chancellor.

It has now been conceded
that the Cabinet and not just
the Treasury, should be able to
discuss the economic outlook
and the broad balance of the
Budget. Non -economic ministers
expect only to be involved in
the general shape of the mea-
sures. They do not want to
participate in detailed decisions
about individual tax rates.

A specific date for the meet-
ing has not yet been fixed but
it is likely to be at ithe end of
January or early in February,
since Budget day is almost
certain to be in the first half of
March, probably on Tuesday 8th.

The “ wets ” intend to use the
Cabinet debate to press for their
own package. This group, of
Ministers and like-minded back-
benchers have emphasised
strongly the need for a change
in direction in the spring
Budget..

These Ministers have appar-
ently not yet co-ordinated their
approach, but their preliminary
thinking seems to focus on a
£2bn to £3bn package. The
scale is partly symbolic since
the Ministers do not want to
associate themselves too closely
with the £5bn package put for-
ward by Sir lam Gilraour, the
sacked Cabinet Minister, yet
vet they do want a clear move
away from present policies.

There appears to be general
agreement among the “wets"
and within the Treasury that
the Government cannot again
fail to raise income tax allow-
ance thresholds in line with
inflation, as it did last March.

There is also strong pressure
from Tory backbenchers and

Continued on Back Page
Money supply rises. Back Page

UK reserves fall. Page 6

BY RAY DAFTER, ENERGY EDITOR

MEXICO has cut the price of
its heaw crude by $2 a barrel
—from $28.50 to $26.50— follow-
ing pressure from international
oil companies.

The January I price reduc-
tion. by the world's fourth
largest oil producer, is a signi-
ficant pointer to the continuing
surplus of supplies.

Mexico's move follows a spate
of smaller price cuts introduced
last week after the December
ministerial meeting of the
Organisation of Petroleum
Exporting Countries. Industry*
reports yesterday said that
Algeria — one of the most
hawkish OPEC members — had
also decided to cut the price
of its light oil hy 50 cents a
barrel to $37 although refining
companies maintained that the
price was still too high fn view
of the depressed demand for
products such as petrol, heating
oil and boiler fuel.

The Mexican price cut relates
only to its heavy Maya crude —
one of ithe thickest and most
expensive grades -of oil to refine

which is -traded extensively in

the Internationa i market Hie

lighter, more attractive Isthmus
crude will continue to cost $35
a barrel.

However, as Mexico exports
all of its crude as a 50-50 mix-
ture of light and heavy grades,
the average price of the
country's oil has been reduced
by $1 a barrel. Peroex, the State
oil corporation, said the prices
would be reviewed at the end of
March.

Officials of oil companies in
Europe and the U-S. said Mexico
had been forced to respond to
market pressures. The heavy
crude, used mainly for making
fuel oil (burned by industry and
electricity generating stations,
had become seriously over-
priced. In the U.S., the major
market for Mexican oi9, demand
for heavy fuel oiJ early last
month was 27 per cent down on
the corresponding period of
1980.

Earlier this week,- Venezuela,
Con Unned on Back Page
Lex, Back Page

HOW OIL PRICES HAVE FALLEN

Grade (degrees API)

($ per barrel)
Jan. 1982 Oct. 1981

Saudi Arabia:

Kuwait:

Iran:

Iraq:

Abu Dhabi:

Algeria:

Libya:

North Sea:
Venezuela:
Mexico:

Medium

Heavy

Light

Heavy

Basrah (Gulf)

Murfoan

5 aha ran

Amna

Zueitina

Flotta

Cabimas

Maya

— 3!

— 27

— 34

— 31

— 31

— 35

— 39

— 44

— 35

— 41

— 3L6

— 20.6

— 23

Source: Petroleum Intelligence Weekly end Industry sources

BP to close Dunkirk plant

BRITISH PETROLEUM is to
close its Dunkirk oil refinery
and axe about 900 jobs in
France as a result of the con-
tinuing recession in the Euro-
pean oil products market Ray
D after writes.

The move — affecting the
group’s 79 per cent-owned sub-
sidiary Society Fransaise des
Pyrroles BP — is the latest in a
series of measures to reduce
BP’s Western European refinery
capacity by about 25 per cent
in 1981-82.

The refinery, with an annual
capacity of 4.4m tonnes, will
shut this year, although BP
intends to keep open its lubri-
cants and bitumen plants on
the same site. About 400 jobs
are expected to be lost at the
refinery.

BP said a fzulher 500 of its
4.700 French labour force
would be affected by rationalisa-
tion measures in its supply,

marketing and Paris head-
quarters operations.

The decision means that BP
has almost met its closure
objectives. It has announced in
the past year that nearly 23m
tonnes of its original lOOnir
tonnes-a-year European capacity
is to be closed.

Sis refineries have borfic- (6l
brunt of these measures:
Dunkirk (4.4m tonnes);
Antwerp (15m tonnes); Isle of
Grain (10.4m tonnes); Vohbuxg-
Eriag, West Germany (2.4m
tonnes); Dinslaken, West
Germany (2.6m tonnes), and
Speyer, West Germany (1.8m
tonnes).

BP’s actions are in line with
similar measures being taken
hy other major refinery com-
panies. Industry analysts have
suggested that Western
European refiners would have
to close at least 30 per cent of
their capacity to balance supply
and demand.

h

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EUROPEAN NEWS

Solidarity leaders may face exile

by; our foreign staff

POLAND’S MILITARY Govern-
ment is considering e^ng o

the West some former Snaaruy
free trade union leaden,
General Wojciech Jaruzelski
hinted to EEC ambassadorsdu^
ing his meeting with them on
Monday.

“There is no place for

darity extremists in PolMjJ
he told the ambassadora. But
he did not indicate whether Mr
Lech Walesa, the union s head,
was included among those
interned leaders which the
regime is anxious to expeL Mr
Walesa's resfusal to negotiate
with the martial law authorities
except in the presence of ail
other members of the Solidarity
praesidium is believed to tie a
serious embarrassment to the
' regime.

' Mr Walesa is reported to
.have been under considerable
psychological pressure designed
; to persuade him to denounce
“extremists" within the Soli-

darity union and a §F ee ... t(>
negotiate with the authorities
as a moderate leader.

Mr Walesa, however, still
remains their best hope of
re-establishing some form of
future co-operation with what
remains of the Solidarity union
when martial law is removed.

The ambassadors are under-
stood to have reported back to
their foreign ministers meeting
in Brussels that the General had
told them he would “have no
objection ” if Western counties
agreed to accept those Solidarity
leaders which the authorities
may wish to expel.

According to Co mm u n ity
diplomats. Gen Jaruzelski
repeated assurances that tne
regime did not intend to turn
the clock back in Poland, but
he gave the impression that
martial law would remain in
force for a considerable time.
While some trade union leaders
would be released if they pro-

mise to refrain from subver-
sive activities/' others would
remain in prison, he added.

The ambassadors were said
to have made no comment on
the General’s hints about expul-
sions, but Western diplomats
take the possibility seriously.
Widespread expulsions of Soli-
darity activists would be seen
as a cynical denial of all
assurances that the milit a r y
regime does not intend to Mil
the reform movement.

Hints of hew moves against
Solidarity leaders came as Lord
Trefgarne, Minister of State at
the UK Foreign Office, called
in "Mr Stanislaw Staniszewski,
the Polish ambassador to Lou-
don, to protest against the total
jamming of BBC polish lan-
guage broadcasts.

- BBC enginers report that the
jamming comes from Soviet
transmitters in Smolensk aud
Kaliningrad. Partial jamming
started on December 30 but

was stepped up ‘to cover all
short-wave Polish language
broadcasts yesterday. Soviet
transmitters regularly jammed
BBC Polish language broadcasts
between 1956 and 1963- BBC
Polish language transmissions
were increased from 21 to 26
hours a week on December 22.

Meanwhile, the Yugoslav
Communist newspaper Borba
yesterday confirmed reports of
a widespread purge of _ the
Polish Communist Party in a
report from Warsaw. It also
said that the authorities were
bavin? trouble _ suppressing
underground activity by Soli-
darity while many party mem-
bers were turning in their cards
out of conviction that the party
had lost the faith of the nation.
• Mr Zbigniew Iwanow. a well
known reformist member of the
Polish Communist Party, nas
died after being beaten up.
according to reliable reports
reaching London.

CRISIS IN
POLAND

Leslie Colitt gives his own
view of events in Poland

West carried away
on a wave of
wishful thinking

Europe tries hard to close ranks with U.S.

BY JOHN WYLES IN BRUSSELS

AS FAR as most European Com-
munity Governments are con-
cerned, one of the most disturb-
ing consequences of the Polish
military crackdown is that they
should have been forced this
■week to devise a reaction
capable of impressing the
United States as much as
Poland or the Soviet Union.

• President Reagan’s decision
last week to hold Moscow res-
ponsible for events in Poland
and to apply limited sanctions
bnth irritated the Europeans,
who felt they had not been
properly consulted, and also put
them on the spot Already un-
comfortably aware that in the
U.S. Europe is increasingly re-
garded as the “ wet ” sector .
oE the Atlantic Alliance. EEC
Foreign Ministers gathered in
Brussels on Monday anxious to
reconcile differences among

> themselves and to close ranks
with the Americans.

Although Lord Carrington,
the British Foreign Secretary,
and some of his colleagues

■ thought that Monday’s meeting
could have done more, they

. believe that the U.S. ought to
be convinced that the two sides
of the alliance are now mov-
ing in parallel. When Nato
Foreign Ministers meet here
next Monday, the Europeans

■ may emphasise the following

points: , ..

• By the end of the month the
EEC should have assembled a
set of measures affecting both

• Poland and Moscow which, like
the U.S. sanctions, will be more
political and symbolic than
economically punitive.

• There is now little sigmfi-

Tbe official Soviet news
agency Tass yesterday
sharply rebuked the EEC
countries for their declara-
tion on Poland, accusing them
of open interference in the
country's affairs. Renter re-
cant difference between the
European and American analy-
sis of the Soviet Union's part
events in Poland. Whether or
not Moscow instigated 'the mili-
tary take over is now less rele-
vant than the fact that it is
agreed in the West that the
Soviet Union and its satellites
have a moral and political re-
sponsibility for Polish repres-
sion.

• The UK, France, Italy and to
an increasing extent West
Germany, are beginning to
share the U.S. view’ that it is
not the Yalta agreements but
the Helsinki Final Act which
should • determine Western
attitudes to the struggle for -
democratic freedoms in Eastern
Europe. In "other words, the
West could only be impassive
to the Hungarian and Czecho-
slovak repressions but it has a
right and obligation to inter-
vene over Poland because when
they signed the Helsinki Final
Act both Warsaw and Moscow
offered guarantees on human
rights.

Thus, the Madrid Conference
on Security and Co-operation in.
Europe which is designed to
carry forward the Helsinki
agreements, will be the forum
for a protest by Western

ports. Community foreign
ministers had ignored the'
real state of affairs in Poland,
it said, and the fact that all
steps taken by the govern-
ment there were Its own
domestic affair.

Foreign Ministers when it
resumes on February 9.

As .the U.S. is beginning fro
acknowledge, ilhere is little
possibility, unless the Soviet
Union intervenes in Poland, of
Western Europe taking action
which: would inflict serious
damage on its extensive
economic, commercial and finan-
-cial- links with the East.

There was no real prospect on
Monday of the EEC adopting the
American sanctions against
Moscow- because as Lord
Carrington pointed out, they
would deal a much more serious
political and economic blow to
Europe’s relations with Moscow
than to U.SLSoviet relations.

In the meantime, the Ten are
anxious to avoid undermining
the American sanctions and fro
develop political and economic
measures of their own. The
biggest worry about the
American, sanctions is that "so
little is known about how they
should be applied. The suspen-
sion of licences for the sale of
U.S. equipment for the Soviet
gas pipeline to Western Europe
remains the principal concern,

France, Italy, the UK and
West Germany- agreed at last
July's Ottawa Summit to take
part in talks later this month

aimed at a possible tightening
of restrictions on h^gh tech-
nology exports to the Soviet
Union. Poland hdw makes a
dampdown on such sales much
more likely.

Meanwhile, the measures
which the EEC could well apply
by the end of the month wll
affect both Poland . and the
Soviet Union. The talks sche-
duled in Paris for January 14
on rescheduling the portion of
Poland’s debt guaranteed by
Western governments are un-
likelv to take place, and if they
do the West will put the nego-
tiations on ice.

In addition. Poland will be
denied any new credits and cut-
price sales of food.

The dispatch of cheap food
worth around JlOOm which the
Ten have already agreed in
principle will also probably be
frozen.

Finally, the Ten are prepared
to raise trade barriers against
some 30 per cent of Russian
exports to the EEC. The other
70 per cent of Russian sales
are energy supplies which
would remain unaffected.

Any such move on the trade
front, therefore, would have all
the irritation for Moscow of a~
fieabite. But the fact that
neither the U.S. nor the

Europeans are yet ready to make

any real economic sacrifices in
support of Polish freedoms high-
lights the, limited confidence im
- both sides of the Atlantic that
sanctions alone can influence
Soviet policy when the future
of Leninist democratic cen-
tralism is at. stake.

Bankers
to meet
on debts

By Peter Montagnon,

Euromarkets Correspondent

A SMALL group of inter-
national bankers is to meet _ m
London tomorrow for a f uriher
round of talks on Polands debt

pr0 B b r*e meeting, which is

expected to be very short, 5s
intended to concentrate on tech-
nical details related to the legal
documentation of the proposed
agreement *o allow Poland to
defer repayment of loans fac-
ing due last year to some 50U
commercial banks.

Wider issues, such as the
course of action to take on loans
falling due this year, will be
aired only in a very informal
way. Western bankers said

yesterday. . _ _

Proper discussion of these
issues would require a meeting
of the full task force of totei*
national banks which has been

spearheading the negotiations
with Poland, preferably with
the participation of Polish
government officials.

No such meeting has been
called as yet, the bankers said,
although there is growing pres-
sure for the Polish Finance
Ministry to be invited to attend
such a meeting.

Meanwhile, maturities falling
due this year are expected to be
extended informally pending
new discussions, ust. as those
falling due last year were
treated while the rescheduling
arrangement was under negotia-
tion.

High-level visit

The Soviet Union said yesterday
that Mr Jozef Czyrek, Poland^
Foreign Minister, will visit
Moscow within the nert 10 days,
writes our Moscow correspon-
dent. Apart from a routine
visit by the Polish Foreign
Trade Minister before Christ-
inas, Mr Czyrek will be the first
known high-ranking Polish Gov-
ernment and party official to go
to the Soviet capital since the
military dampdown on Decem-
ber 13. •

AFTER SPENDING many

‘ weeks in Poland before and
since the “Gdansk August
of 1980. I bare concluded
that Western assumptions
about the country^ future we
largely based on wishful
thinking.

Before December 13, 1981,
Western politicians thought
the Polish Communist Party
was capable of reform
because it said it was. They
also believed Solidarity could
take a moderate course, for-
cretting that the union fdt
cheated of power and. mortally
threatened by a party which
saw its own existence
endangered.

Western governments and
bankers thought wide reach-
lag economic reform were
just around the corner in
Poland and would somehow
save the country from, default-
ing on its loans.

Today the West's attitude again
rests mainly on hopes, this
time about what the military
government in Warsaw will
achieve. However, it still ig-
nores the key factor in the
Polish equation. — 36m Poles,
9m of whom were members
of Solidarity.

After martial law was imposed
in Poland, many Westerners
seemed relieved to hear the
military government had
merely “ suspended ” Soli-
darity and would soon resur-
rect a new union cleansed of
“ adventurers.”

When it became apparent Soli-
darity was being smashed.
Western politicians appealed
to the authorities to show
their good faith and negotiate
with the dismembered union.
And would they please give
a date when martial law
would be lifted?

The military, responding with
a straight face, indicated it
was trying to talk with Mr
Lech Walesa, but that he was
proving stubborn. As to end-
ing martial law, this depended
on how quickly “normalisa-
tion ” could be completed.

Just in case this would take a
while, Warsaw began to
describe the military govern-
ment as “ Communists in uni-
form."

How was one to react to this
farcical tragedy? The West
could not have done worse
than it has. It had 16 months
in which to draw up a co-
ordinated response to just
such a military crackdown m
Poland.

Instead, Washington cried wolf
until it was hoarse whil e
Soviet divisions manoeuvred
on Poland’s borders. The
State Department chose ro
ignore the advice of a young
American diplomat to
Warsaw who had forecast just
such a military takeover.

The West was caught not with
its trousers down but wholly
naked. President Reagans
economic counter-measures
backfired before they were
put into effect Mosawand
its allies were gleefully
quoting Western European
politicians on the futility of
the sanctions.

The reactions by Western
European leaders were hardly
calculated to gain the re£?>ect
of ordinary Poles who bad
■ their own ideas about bow
the West should respond. But
even if a massive response
was out of the question, the
■spectacle of so many politi-
cians alternately moaning
and shrugging their shoulders
was depressing.

Yet optimism springs eternal'
... the authorities in Warsaw
have now promised that the
economic reforms will be
introduced shortly. And this
has again encouraged the
West which was growing
despondent about the pros-
pects. i

Just how a genuine economic
reform — apart from price
increases — is to be 'achieved
' with a regimented and des-
pondent population robbed of
all " initiative defies the.
imagination.

The West will have to deal
with the new Polish leader-
ship just as it did with
Poland’s past Communist
rulers. But it would be dan-
i gerous for it to forget the
i aspirations of the Polish
people who ultimately will
determine the future of their
country.

Newspaper J
group’s fate if
embroiled in

P-2 probe

By Rupett Cornwell in Bwe V

tcte ITALIAN Parliament's Jj*

inquiry onto the P-2 aswr « gf

plunging in at &

firet bearing, scheduled todasv W
will .investigate the htte
between the ultra*secn* Free-
Sns’ lodge and . -

Hzzoli-Comere della aera ^
publishing group-
The circumstances of the .
hearing are as bizarre as any in • *
the protracted ’

of the Corciere, Itajjj s leaing^.f
daily newspaper. ;

however, they aretoreatemng
to increase the P^tical teffidons -

already menacing the fi^-party .

coalition Govennnent ot
Giovanni SpadolinL

Assuming procedural wrangi-
ine can be overcome, the star
witness today will be Sig Brimo
Tassan Din, managing director
of Rizzoli, and arguably the
central figure in the intricate
negotiations over the future, of

the Corriere. .

The committee session was
called after weekend revelations
of tape-recordings of telephone

Basque businessman
seized at gunpoint

BY ROBERT GRAHAM, IN MADRID

A BASQUE businessman, Sr
Jose Lipperheide, was kid-
napped from his home in a
Bilbao suburb yesterday in a
pl ann er that bore the hallmarks
of Eta, the militant separatist
organisation. Sr Lipperheide’s
chauffeur was forced at gun-
point to let the kidnappers into
the businessman’s bouse.

Sr Lipperheide, aged ”5,
came' to Bilbao from Germany
more than 50 years ago and is
the unde of a prominent mem-
ber of the Banco de Vizcaya.
However, there is no suggestion
that the kidnap is connected
with ransom demands on the
bank. Until now, neither of the
two big Basque banks has been
threatened -for money by Eta.

Tbe kidnap has added tension

to the new year, which has
already seen its first violence
in the Basque country. In
separate incidents, a taxi driver
has been assassinated and two
people seriously injured by
Guardia Civil gunfire. The taxi
driver’s death has been claimed
by a group known as Triple A,
believed to be an ultra-right-
wing organisation. i

The latter claimed in a call to
a local Basque newspaper that
the taxi driver had been killed
by mistake because of an error
of identity. The two people in-
jured, an old man and a six-
year-old child, were struck by
gunfire when Guardia Civil
came across the tail-end of a
demonstration, outside San
Sebastian.

Rise in
French
jobless

By David Housego in Paris

FRENCH unemployment con-
tinues to rise but the rate of
increase has slowed consider-
ably over the past two months.

Provisional figures show that
the number of unemployed on
an unadjusted basis rose in
December to 2.019,000, an in-
crease of 0.14 per cent oyer the
previous month. The equivalent
increase in November was 0.7
per cent compared with a 4.7
per cent rise in October. The
number of unemployed re-
mains, however, 23.7 per cent
higher than a year ago.

The Government wants to
stabilise unemployment this
year, which on demographic
trends will require 250,000 net
new jobs.

Turkish coffee makes comeback
and gives grounds for optimism

BY METIN MUNIR IN ANKARA

IF THE life of the Turkish
economic crisis, like that of
•T. Alfred Pru frock, is measured
out with coffee spoons, it has
ended. The ban on the import
of coffee, introduced in 1978,
when the country's severest
economic crisis set in, was
lifted yesterday.

The ban was imposed because
Turkey was short of cash' and
although things improved
remarkably last year, it was
maintained as a symbol of
national sacrifice.

.On his missions abroad to
raise credits, Mr Turgut Ozal,
Turkey’s chief economic
planner, often cited the sacrifice
of coffee as a symbol of the
discipline Turkey had imposed
upon itself to tackle the crisis.

Unlike Turkish delight or

Turkish baths, Turkish coffee is
not indigenous. It is imported.
The Government’s decision to
resume coffee imports is a
signal to Turks that things are
looking up.

Mr Kemal Catrturk, the Trade
Minister, who announced the
lifting of the ban, said that 1981
had been a successful year for
the economy. After two con-
secutive yeans of negative
growth, gross national product
had risen by 4.4 per cent.

Exports in the first 11 months
of last year had grown by 65
per cent to $4.10bn (£2.1bn) and
would surpass $4.5bn for the
year as a whole. Imports in 1981
would be $8.8bu compared with
?7.6bn in 1980.

Mr Canturk said that the im-
port target for 1982 was $10bn.

Some of this would go towards
the .purchase of about 10,000
tons of coffee, the estimated |
annual national requirement.

It was not the first time that
the Turks had had to go without
their beloved coffee — drunk in
small cups sade (without
sugar), Orta (with some sugar),
or sekerli (with a lot of sugar)

Coffee appeared in Turkey in
1543 and became so popular
that it created resentment
among cnoservative people and
was prohibited.

It was re-allowed in 1592 and
forbidden again 1633, “less be-
cause the Government con-
sidered the drink itself to be
particularly noxious, but be-
cause coffee houses were haunts
of pleasure, vice and potential
sedition.”

Community
aid for UK
steelmen

By Giles Merritt in Brussels

AN EEC financial package
worth almost $50m has been
awarded to Britain to help fond
schemes for aiding redundant
steelworkers. The Commission
grant will go towards pro-
grammes being launched to help
13,600 steelworkers formerly
employed at 23 UK plants.

The finance is hot part of the
controversial social programme
being proposed by the Commis-
sion to under-pin its demands
for a restructuring of the steel
industry, but comes under the
category of readaptation ' aids
paid out of European Coal and
Steel Community funds.

Steelworkers in five EEC
countries are to benefit from
the financial package just
announced by the Commission,

Slg Spadolini . . . under
pressure

conversations late last yeai
between Sig Tassan Din, win
controls a vital 10.2 per cen
of the group, and Sig LicK
Gelli, the fugitive Grandmaster
of P-2, now dissolved by law.

In the tapes, Sig Gelli is saic
to have pressed Sig Tassan Din
himself a reported member o
P-2, to agree to plans, favourec
by the Socialist and Christiai
Democrat parties, for the sal-
of Rizzoli-Corriere della Ser;
to Sig Giuseppe Cabassi, :
Milanese businessman.

Sig Cabassi, however, ha
added to the general confusio;
by denying ever , having negc
Gated with Sig Tassan Din, o
that he had ever had anythin
to do with Sig Gelli. He ha,
dealt only with Sig Angel
Rizzoli, president of the grout
who holds directly 40 per cer
of its equity, he said.

The latest developments ai
being seen generally as f urthe
proof of the determination <
Sig TBssan Din, alreac
embroiled in argument wit
Rizzoli employees over planne
cutbacks, to maintain his pos
tion at all costs.

But the new entanglement •
Rizzoli and P-2 -is being watch*
closely by all politicians her
The P-2 affair toppled the pr
vious Government oE" -S.
AnsaMo Forlani when it becmx
public in May 1981.

Five months later, S
Spadohm's administration v- '
in jeopardy from opposition 1 "
Socialists, members of his coat
tion, to proposals that tT
Corriere he sold to a group
prominent businessmen, led
Sig Bruno VIsentini,

That plan has now ‘ be
dropped. But the Socialists a
keeping up their pressure
the Government and talk oper
of a new election, if necessa;
to clear the political air.

Amsterdam

BY CHARLES BATCHELOR IN AMSTERDAM

AMSTERDAM, like the hippies
it so enthusiastically welcomed
in the 1960s, is shsowing signs
of age. Long a magnet for the
outcast, the liberal Dutch capi-
tal is fast reaching the limits
of its ability to absorb new-
comers.

The city’s desperate shortage
of bousing has produced a vocal,
and frequently violent, squat-
ters’ movement The drugs prob-
lem is out of hand and crime-
much of it drug-related— is turn-
ing some parts of the city into
no-go areas for tourists and
local people.

A few years ago, Amster-
dammers relate with sorrow,
even the red-light district was
a place where ordinary families
lived and felt quite safe. Now
drug syndicates have taken over
many of the caffs on the
famous Zeedijk and the city
authorities have drafted in
extra police.

Ordinary families have fled
the city for the green and
pleasant satellite town up to
50 km away. As families have
moved out, their places have
been taken by young people,
many of them students, keen to
enjoy the bright lights.

The old people have also
stayed, placing heavy demands
on the city’s social services.

FINANCIAL TIMES, publiihttd dally
•xcapt Sunday* and holidays, U.S.
subscription rotas $365.00 par annum.
Sacond class oostaga paid at New
York, N.Y., and at additional mafllntf
pcmras.

Burgomaster Polak:
population changes

Amsterdam has also become
home to an increasing number
of gasiarbeiders from the Medi-
terranean countries and to
many of the Surinamese who
came to the Netherlands when
their country became indepen-
dent in 1975. One in seven of
■ Amsterdam's 710,000 inhabi-
tants was born outside the
Netherlands.

" There cin be few cities
where the composition of the
population has changed so
radically,” 'says Mr Wlm Polak,
burgomaster for the past four
years, “ Amsterdam may be the
capital but it 1s not a large city
In international terms. It*
ability to absorb newcomers is

great but we are facing
problems with the second
generation of immigrants. A
half to three-quarters of the
pupils in some schools come
from minority groups.”

Amsterdam has the reputation
of being a free republic within
the kingdom of tbe Netherlands,
where anything goes. This image
owes much to the fact that, in
spite of Amsterdam's being the
capital, the serious business of
government takes place in The
Hague, while Rotterdam is the
trading and industrial motor
of the economy. “Amsterdam,”
the saying goes, “is full of
people enjoying themselves. The
Hague fa full of people thinking
up ways of stopping them, while
Rotterdam is too busy working
to notice.’’

This picture is not entirely
true to. life. Amsterdam is the
financial centre of the Nether-
lands and the home of some 40
foreign and ail the large
domestic banks. It is -also a
major congress centre with an
important, if. declining, harbour
and the country's International
airport of SchiphoL on its
boundaries.

But It. is the city's theatres,
concert ball, opera, cafes and
clubs which determine its image.
Amsterdam has two universities.
The Hague none. Its. rings of
canals lined with' handsome
merchants' houses make It the
fourth most popular tourist
destination to Europe after
London* Farit and Rome,

Tourism could be one of the
first business sectors to suffer
from the problems Amsterdam
now faces. The Japanese
Foreign Ministry earlier this
year warned businessmen of the
dangers of Amsterdam. “Crime
is a big problem,” says Mr
Polak, “the addict needs money
and turns to mugging and shop-
lifting. No one has a solution
to the drugs problem, though
we are trying to disperse the
main concentrations of the
trade."

The squatters’ movement has
also become increasingly vio-
lent Clashes with the police
occur almost monthly. These are
frequently followed by protest
marches through the city
cen tie.

The morale of tbe city’s over-
worked police force has suf-
fered. Senior policemen say it is
diffcult to find new recruits and
even more difficult to keep them
for more than a year or' so.'
Amsterdam policemen protested
last month against the difficul-
ties Under which they work, and
demanded a large pay rise.

They complain that they must
bear the burden of the failure
of the politicians to solve com-
plex social problems. Amster-
dam's Left-wing council is popu-
larly believed to have been
overwhelmed by the difficulties
.it faces. The success of Rotter-
dam's! also Left-wing council
provides a sharp contrast to the
hesitant approach in the capi-
tal.

Internal divisions within the
Left-wing parties in Amsterdam,
particularly in the dominant
Labour Party, paralyse decision-
making. according to one senior
Rotterdam official. Mr Polak’s
however, denies this. “The
quality of this city's managers
is good,” he says. But even he
admits that the council has
more than its fair share of what
he calls “the fifth estate”—.,
academics and social workers —
and not enough practical busi-
nessmen or skilled working
people.

Relations have long been
strained between the city coun-
cil and the business community.
Businessmen claim that the
policy of supporting public
transport at the expense of the
private car drives away
customers and makes staff hard
to come by. Tram-only lanes
have reduced tbe road space
available to the motorist, while
the city’s refusal to allow build-
ing of car parks makes parking'
a nightmare.

The inaccessibility of the city,
centre and the depressed state
of the Dutch economy hate' led
to a loss of 5,000 jobs a year
over, the past decade. Around
10 per cent of the population is
. unemployed— a figure as high
as to the traditional unemploy-
ment blBCkspots in the pro-
vinces. The decline of the port
and of the .shipbuilding
Industry, and the closure' last •
month of Ford's truck assembly
plant, have lengthened the -dole
queues.

. _ _

• • ■ •' JvrrKfr-.

Two aspects of Amsterdam: tourist boats tranquil canals (above)' arid water cannon o -
violent streets (top), as police' dash with housing protesters ' • "

'SET:-' •:

-"rr*

OVERSEAS NEWS

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Land ref arm
troubles
hungry
Ethiopia

By James Buxton,
recently in Addis Ababa

THE GREAT justification of
the Ethiopian revolution was
the terrible backwardness and
poverty in which- all but a
small, mainly urban, minority
Of its 31m people were ; living.
One of its first Acts was a drastic
reform of land . tenure to
abolish landlords; regarded as
the villains of the old regime.
Now, seven years after the
revolution began,- the rural
population is .better off than
before, while the urban popula-
tion has become relatively
poorer. But the country remains
A among the world’s six poorest

and its development prospects

I1D BV ■» m«»rtain.

J The bright spot is the !

By Richard Corner in Jakarta vigorous attempt the Govern-
TAnvMUTTcrA B4C ment is making at development

on a <»inmunaS, self-help basis,
voiat is likely to- be regarded by 7^55. .encouraging, however, is
the man in the street as a fairly the shaky performance of the
unpopulir draft budget enlarged state sector and
Economists, . . - however, -have Ethiopia’s problems in trying to
praised it: as- a brave attempt attract the foreign aid it needs
to limit ..personal consumption for- large scale development. •
while m ai n taining the country's . Ethiopia, is poor , because of
high level- of economic growth its fissured, mo untaino us geo-
dnring- a worldwide recession." graphy and the late start it
-President Suharto's budget made on development. The
plan projects a 12 per cent' country was only colonised for
increase in Government re venire six years by Italy between 1936
to $2l.5bn from $192bn in and 1941. Modern development
1981-82. This increase, plus -a 7 for most parts of the country
per cent cut in current expen- was hardly possible before the

Pretoria to charge mercenaries

BY BERNARD SIMON IN JOHANNESBURG

dlture will be poured into the
development budget, which was
increased by 35 per cent to
SlSfifcn from $10bn in 1981-82.

For 'the first time in four
years, outlays on development
will be greater than 'current
expenditure, which is forecast
at $10.9bn . in • 1982-83, down
from 8T.7bn-in the current fiscal
year.

This should ea able ■ the
Government ' to maintain
economic growth at the. cur-
rent level of around 7 per cent
at a. time when the Indonesian
economy is under pressure from
faffing demand for commodity
exports and stagnant oil .prices.

: To - finance the development
spending. President Suharto has
decided, to.- cut- food and -fuel-
subsidies by 40 per. cent and to
impose a -salary cut in real
terms on 2m . civil servants.

He called on the nation to
tighten its -belt:. --“To. delay
development would 1 only prolong
the sufferings of adifficutt and
demanding life « . . therefore let
us be wining to make sacrifices," -
he said. .. -- , ■

Coming tour montiis before
an. • election the. . cuts ;were,|
thought by , some -[ to be-i
courageous- - and, by atiiere,
foolhardy: . .

The budget was undoubtedly
a victory for the . largely
Western - trained technocrats
who head economic ministries.
Along with the Worid Bank
and other Western economists
they had advised the President
that the soaring -subsidies on
domestic fuel were encouraging
wasteful nee of the country’s
most precious natural resource.

The President made it dear ,
that when the country was facing
a projected balance of payments
deficit of Slbn.in 1981-82 and a
slightly larger deficit in 1982-3,

subsidy boll . of over $3bn.
Savings in this area of around
SLTbn would account for around
half the total increase in the
development budget

Tension
mounts in
Assam

By It X. Sharroa in New Delhi
TENSION MOUNTED in the
oil-producing state of Assam in
northeast India yesterday
when nearly;-400 people were
arrested for -defying a ban on
meetings and a- number of shops
and businesses remained closed.

The protest was organised by
student leaders .who have
revived the- agitation on the
“foreigners, issue” wtil efa parar
lysed economic activity in
Assam for nearly a year from
mid 1979; '

There are. fears that the
movement . . wiH ■ spread to

a fuel World Food Programme.

The Government has tried
to make fanners produce more
by giving them more advice
and better inputs, rather than
change the system. It is also
trying to make' the peasants’
associations, set up after land
reform, become . farming
bo-operatives. Relatively few
have done so, however, and
the authorities are meeting
resistance in many areas. The
peasant enjoying bis land for
the first time, does cot want to i
lose his independence again.

GOTerament planners admit
that Ethiopia needs' more Wm-b
self-help and cash solutions. It
requires a large scale develop-
ment: programme to . expand
the iransport system; create
new industries and large scale
agriouitiire for export

All 'this needs foreign ex-
change. Ethiopia's main foreign,
e x change L : earner, .. " coffee,
broiusht fn' KWfly $280m (£145m)
in 1980, equivalent to about- a
third of imports.. Ethiopia re-

movement .. WiH spread to- og*es relatively little foreign
Assam’s oilfields, and refineries egmvaflept of

as well as its lucrative tea gar^ about 50 ^2.59> per head, com-
dens. . This would- seriously : iin-. paxed.wt^ an averse of $17
pair the Indian economy -which *or devdoped

IT just recovering -from the, *** West dubuxses

drought and _fte Assam .distar-.

bances of 1979.

Students in Assam want all

- There has ■ always, bderi a
limi t to bow. -mupb aid. Ethiopia

foreigners— mostly -migrants - aW -

from Bangladesh and the Indian - jJjSJ* ££££«« toe re-
State ol West . Bengal- vofetiem be^ure^ genei^iaw-

state ot west ijengat—
expelled from the.- state on; ifie

lessaess.

uts. investment

!= CM

strstog shout fljt months ; « “SEKw.7 to

‘ They have deYelopment. hy the efficiency
broke down- - lfle F < “T® kc+h*.

». : \ -*
:’j

* ,v. •••

. V ' .

when talks with the Goyenunenr
broke down- • They have
threatened to escalte the agi-
tation. ' . • . J.

• The International Finance
Corporation.* (IFC)*- the World
Bank affiliate, has offered _aid
for rise Indian oil industry., This.

of certain parts of the Ethiopian
state sector— Ethiopian Airlines
is one of the best-run airlines
outside Europe and North
America — and by the Govern-
ment’s financial prudence. It

tot ine runs a surplus on its current

Sr‘ n< San affiliate, budget, has a low-debt service
Worid Bank’s . soft loan amiiaie, . aride its un-

the Interna tlouri Developen^ - ed but commitment

fiSSR*jRtMS -

^■SSSir :S5.1K toeSiut

Mr Hans Wuttke, its execuHve in tamnaM roaw^tvrfuch
■ at a '. meeting is so common -in Africa.

-4

. .1* '.1 . •

although^

S^^pected-. to. 3 make formal tion of

applications -for -particular pro- that same .technocraas are sMU

jects soon. r , - io ptisoQi

THE SOUTH 'AFRICAN autho-
rities have unexpectedly
reversed an earlier decision not
to prosecute 40 of the 45
mercenaries involved in a coup
attempt on the Indian Ocean
island . of Seychelles last
November who hijacked on
Indian airliner to Durban.

The men are to- face four
charges under the Oral 'Avia-
tion Offences Act South Africa's
strict anti-hijacking law, the
Attorney-General of Natal, Mr
Cecil Rees, said yesterday. The
law carries a tnlimmun prison
sentence of five years.

In the Seychelles yesterday,
seven foreigners arrested for
alleged involvement in the abor-
tive coup appeared in court The

Cuban killed

South African security
forces have killed one Cuban
and captured another on the
border between Namibia ami
Angola, a spokesman
announced yesterday, AP
reports from Pretoria. The
incident occurred during a
firelight, he said.

prosecution asked that the
seven, including a Briton and
a South African woman, be
held on the “ serious charges ”
of importing arms, and ammuni-
tion. The charges carry a
maximum sentence of 20 years’

imprisonment. The seven were
remanded in custody for two
weeks.

The decision to prosecute the
mercenaries in South Africa is
understood to have been taken
at the highest Government
level. It appears to be a direct
result of angry criticism both
in South Africa and abroad
against the release of the men
days after tbeir arrival in
Durban on the Air India Boeing
707.

Pretoria's lenient treatment
of the hijackers prompted wide-
spread calls for the suspension
of South African Airways’
foreign landing rights and
fuelled suspicions of official
South African involvement in.

the coup attempt
Government spokesmen at
first shrugged off the critics. In
a memorable comment the
Minister of Police, Mr Louis le
Grange, said that. the
mercenaries “only shot out
some windows and ran around
the bush.” More recently how-
ever, Ministers and senior
policemen have hinted that the
-men might be brought to court.

Most of the men appeared in
courts in Durban, Pretoria,
Johannesburg and Cape Town
yesterday. They will appear to-
gether in a Durban court on
January 18 when a date for
their trial will be set
Mr Rees said that hijacking
charges would also be brought

Cel Hoare

against the five mercenaries,
including the group’s leader,
Colonel Mike Hoare, who were
released on bail last month
after a brief court appearance.
Colons I Hoare and his
colleagues were initially
charged with kidnapping, which ,
carries no minimum sentence.

Foreign investment in Ghana to be ‘re-examined’

BY QUENTIN PEEL, AFRICA B31TOR

enlarged state sector and
Ethiopia's problems in trying to
..attract the foreign, aid it needs
for- large scale development. -
Ethiopia, is poor because of

1950s. Most of the population'
still lives more than, a day’s
journey from any kind of road.

Although land reform came
in February 1975, the next few
years were so turbulent, with
power struggles and ware, that
little could be accomplished
until the autumn of 1978. But
already Ethiopia was facing a
big -problem which still dogs
it today. .

. The disappearance of tfae
landlords meant that farmers
no longer had to pay rent.
(That reduced their meed to
produce a surplus, for market,
which was compounded by the

Church officials .
accused .

Ethiopian Foreign Minister
Feleke Gedle-Giorgis has
accused' Lutheran etmueh
nffiriih of grin-running and
smuggling ivory and has said
that an Ethiopian Evangelical
church headquarters had pro-
duced antMSoverament -leaf-
lets^ Beider reports . from
Addis Ababa. Evangelical
church members in the' pro-
vince 'of WoIIega had been -
arrested fay involvement in
illegal underground organisa-
tions, the Minister raid-

inadequate price which the
new State ■marketing concerns
were offering. Many farmers
grow as much as before, but
eat more of it themselves.

■Hie marketing corporations
now offer a slightly better, but
still uniform, price. But the,
towns ore -still often - short of
food, the country has a net
food deficSt, and the .average
Ethiopian lives , below famine
ration level, according to the

FOREIGN INVESTMENTS in
Ghana are to be “ re-examined ”
by tiie country’s Provisional
National Defence Council in the
wake of the New Year’s Eve
military coup. Flight Lieutenant
Jerzy Rawlings, the coup
leader, announced yesterday,

Life In the capital, Accra Is
returning to normal, with banks
reopening yesterday after the
accounts of more than 200
politicians- and officials in the
deposed government of Dr Hilla
Limann bad been, frozen,

As first eye-witness accounts

of the events surrounding the
coup started to emerge from
businessmen, diplomats and
Ghanaians who have fled to
neighbouring Lome, Fit Lieut
Rawlings appeared to be suc-
cessfully consolidating his posi-
tion in he capital
Heads of diplomatic missions
in Accra were yesterday sum-
moned to a meeting with the
newly reinstated Chief of the
Defence Staff, Brigadier Nunoo
Mensah, and Brigadier Arnold
Quainoo, the army Commander
--although neither are believed
to be members of the PNDC.

In a speech broadcast by the
radio — -Fit Lieut Rawlings said
the PNDC would take a fresh
look at foreign investment in
Ghana "with a view to main-
taining the national sovereignty
and interests ” of the country.
He said that instead of putting
faith in foreign investment,
Ghana should encourage its own
industrialists.

He also announced that evacu-
ation and export of the cocoa
and coffee crops, much of which
has been stranded by the dislo-
cation of the couzrtiy’s road net-
work for up to two years, was

the “immediate task” .of the
new government
The disorganised and hap-
hazard nature of the coup has
been emphasised, by first eye-
witness accounts. According to
one Teport, it was started by -a
handful of chsgruntled former
members of the Recce Regi-
ment. After unsuccessfully
urging members of the regiment
lo join them, they short: dead
the second in command, and
seized two vehicles. They then
took control of the armoury at
the nearby Fifth Battalion, hurt
were equally unsuccessful in

winning active support from the
men.

It was only when the men
reached the air force base, and
announced that -they were
backed by F5t-Lt Rawlings, that
they won some supporters,
according to this account

It seems unJikeSly now that
there will be any counter-coup-
Although senior officers in' the
armed forces are reported- to be
unhappy with the coup, it is
believed there is considerable
support for Flit-Lf. Rawlings
among the junior officers. '

Tripoli oiI|f
pipeline £§
repairs start

By Ihsan Hijazi In Beirut

WORK is underway to repair
the damaged pipeline carry-
in Iraqi crude oil to the
Lebanese Mediterranean
coast, but ihe Government is
still uncertain about whether
Baghdad was ready to resume
pumping-

Pumping was discontinued -
last Sunday after tfae pipeline,
extending from tfae . Syrian .
border to tfae terminal In
Tripoli, ftas damaged by an
explosion, apparently caused
fay a bomb.

Syrian troops of the 'Arab
Deterrent Force may take
charge of protecting the pipe-
line against torture sabotage.
Press reports said here. Syria

. iiac an interest in the con-
tinued export of Iraqi oil from
the Mediterranean because
part of the crude is pumped
from northern Iraq to the
Syrian port of Banias.

Army chiefs protest

Bangladesh Army Chief of
Staff L£ Gen H- M. Erehad
has said that tfae National
Security Council formed by
the Government last week “ 5s
not acceptable to us as it will
not meet our demands and
aspirations,” AP reports from
Dacca. Tfae armed forces,
chiefs 'Object to tfae inclusion
on the committee of civil
ministers.

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AMERICAN NEWS

Year of volatile interest
rates forecast for U.S.

WORLD TRADE NEWS

Financial Times Wedn^day

BY DAVID LflSCftlfS W NEW YORK

THIS YEAR m& be a year of
j vofetfle «nfl i4^ng U.S. interest
■ rates beeuse of huge credit
d ema nd s from Govemmenit and
‘ business. 714s was the warning
issued yesterday by Dr Henry
Kaufman, she chief- ec o non n-i st
at Sakwnon Brottiens.

Dr Kaufman’s predictions,
always the most widely watched
on Wad Street, snmedtiateiy had _
a deppessixe effect on the stock .
and bond markets emeu though ■
they differed Tittle from the

taken for some time.

Bat nnBfce previews years
wben he confidently pc edfoted,

1 usually oottTecffity, that interest
rates woufld set new records.
Dr Kauhtnan forecast yesterday
only that long'tenni Interest
rates in the bond market would
*tinxsftea n -tbe highs they set
last year. He doubted that She
prime rate would exceed tile
21* per cent peak It' reached a
year ago.

TJse T fwfin points fia Ms flane-
cast are:

• Hie UJS. budget defied* wSiL
nse 40 a record $90bn, farciag
the Treasury to raise unprece-
dented emounts of money on
the eredGit markets.

• The corporate sector's
demands win also be strong
because business wSEL not be
afaOe *o generate enough capital
interaaftF to meet its needs,
whfich'wUI be unusually high-

• The economic recovery will
be modest because of high infla-

Dr Kaufman: depressing .
effect on . the markets.

tion and Interest rates, and poor
liquidity in key sectors of the
economy. Dr ■ Kaufman sees
nominal Gross National Product
rising 8.5-9 per cent and real
GNP only 1 .per cent

• Inflation measured by the
GNP deflator will rise 8-8.5 per
cent, down a point or two from
this year. But Dr Kaufman said
this drop might only be tem-
porary, with, the trend rising in
the second half of the year.

• Total net demand for credit

will grow by $50bn to $46&4tra,
and much of the increase will
be financed by direct household
investment, mainly through the
money market funds. j -

Dr Kaufman stressed mat
while the prime rate and the
Fed funds rate get all the pub-
licity, the key to the financial
outlook is toe long term bond
rate because this determines
whether borrowers can raise
long-term finance and offload
the vast amount of Short term
debt they have accumulated in
recent years and rehabilitate
their balance sheets. But he
doubted whether they would be
able to do so, in 1982 at least

Dr Kaufman said much would
depend on whether the Fe der al
Reserve returned to the strict
monetarist approach which, he
thinks, it has eased in recent
months to help the economy. If
it does, the targets set for
money supply growth will not
leave much room for economic
expansion.

Dr Kaufman's forecasts are
based on a detailed analysis of
the likely flow of funds between
leaders and borrowers in the
U.S. capital markets, rather than
any economic doctrine. But he
said yesterday that the position
had deteriorated since his
computer was primed a month
ago. Because of the Reagan
Administration's mounting bud-
get problems, the document
probably understates toe difficul-
ties facing the credit markets.

Court blow to fundamentalists

BY REGINALD DALE, US. EDITOR IN WASHINGTON

THE GROWING tide of BSgfat-

wSn g. f und anu gr twltlafn. In the

U.S.- was stemmed, at least
temporarily, yestendy by a
federal judge in Little Bock,
Arkansas.

Judge WiiUSam Overton ruled
that (he store’s “ creation
science” law, pushed through
by refflg&ous fundamentalists
last summer, violated toe provi-
sion in the U.S. Constitution
terming religious teaching in
schools In the pntaKc education
system.

The Arkansas law required
science teachers to give " equal
balance ” to Darwinian theories
of evolution and the creationist
view that life, and (he earth,
were created as ffiftle as 6,000
years ago. The fundamentalists
have been seeking to push

through simfflar taws at state
level throughout the nation.

If the L&ttie Rock ruSang Is up- -
held on appeal, the creattontete
are thought likely to change
their tactics end ooncetftoate on
getting the teaching of their
theories approved by focal
school boards, rather than,
through state legislation. - '

After a mine-day count cse
last month, . widely regarded
hero as an Mstaric confronta-
tion between science and' rati- -
gion. Judge Overton ruled that
creationism was not a' science,
as Its advocates bad maintained,
but merely (he Book of Genesis
in disguise.

The trial drew frequent com-
parisons with the famous Scopes
case of 1925, in which a biology

teacher was convicted under a
Tennessee state law forbiding
the teaching of Darwin's theory
of evolution.

The Arkansas law was pushed
-through by a junior state Sena-
tor with no more than 15
minutes' debate. Governor
Frank White signed it into law
without even reading it

The' fundamentalists at the
trial suffered frequent ridicule
at toe hands of lawyers for toe
American Civil Liberties Union,
which challenged the law. The
creationists’ star theological wit-
ness was forced to admit to a
belief that unidentified flying
objects were manifestations of
Satan, and two others said it
could be a god idea to teach
that toe earth was flat

Drop in appliance sales
leaves thousands jobless

NEW YORK — A sudden drop
in sales of home appliances has
thrown 'thousands of Americans
out of work in recent weeks
as the industry suffers from the
impact of toe recession.

Analysts said yesterday that
the immediate outlook was
gloomy for makers of washing
machines, refrigerators, and
other large appliances.

Their sales suddenly dropped
in October after three quarters
of unusually strong business.
High interest rates and a mori-
bund housing construction in-
dustry are blamed.

Consumers .postponed pur-

chases on credit because of the
high interest rates, which also
caused retailers to cut inven-
tories. Manufacturers reduced
production as their stocks
swelled. Workers were laid off
as a result

General Electric said it had
laid off 1,700 workers indefi-
nitely and sent home 10,000
more for the whole of Decem-
ber. Maytag made" 350 workers
redundant and 4.900 Whirlpool
employees lost -their jobs.

Other companies has also laid
off. staff and extended the
Christmas holiday closure
Reuter

Explosions rock San Salvador

SAN SALVADOR, —A dozen
explosions rocked San Salvador's
capital and surrounding com-
munities on Monday, night
destroying a supermarket the
.home of two- -Supreme Court
justices and other buildings.
According tft the police only one
person was injured.

Two explosions wrecked a
state-run low-cost hosuing credit
agency and a Volkswagen agency
30 yards from the UJS. embassy.
No ' damage -was caused to toe
tmihsutsy building. Police
quickly surrounded the building.

A third explosion damaged a
high-tension power line, plung-

ing the suburban residential
town of Santa Tecla into dark-
ness. A supermarket in a
shopping centre near San
Salvador’s C amino Real Hotel,
where most foreign journalists
stay, was wrecked by another of
the blasts and a man was
seriously injured.

All the explosions were
blamed on bombs set by left-
wing guerrillas, who have been
fighting tbe oGvernment.for the
past 27 months. More than
35,000 peop le haer thought to
have been killed in the fighting,
so far*

AP • -

Tass points
finger at
‘scandals’

The resignation of Mr
Richard Allen as President
Reagan's National Security
Adviser- was a sign of corrup-
tion and discord in the
Administration, tbe Soviet
news agency, Tass, said yes-
terday, AP reports from
Moscow.

The commentary also noted
published reports of differ-
ences between Mr Allen and
Mr Alexander Haig, to cU-S.
Secretary of State,

Petrol use declines

The U.S. Energy Department
estimates that petroleum con-
sumption will fall by 0.7 per
cent in 1982 after a 4J3 per
cent decline in 1981, Renter
reports from Washington. In
its short team energy outlook,
the department says that beat-
ing oil supplies should be
adequate during toe current
winter.

Canadian Trankrnptrfes

There were 49 per cent
more buslnescs bankruptcies
in Canada In November than
in the corresponding month
Jast year,- the Federal Office '
'of Bankruptcy reported yes-
terday,, Victor Maclde report
front Ottawa. '

Japan sets
deadline
for Bandar
Khomeini

By Charles Smith* far &st Gtitor s
In Tokyo .

Japan's aHhmL group has set
Jammy 8 os the deadline for
Iran' to declare its intention
to shoulder 'the additional
costs of (he Hi-starred B andar
Khomeini petrochemical
project

If Iran, fails 4a reply, or
replies unsatisfactorily, Mtsm
is expected to go ahead with
plans for a complete with- ,
drawal from toe project.

- The Mitsui group has been
demanding -since last- summer
that tbe basic contract under
which Japan and Iran -
shoulder equal portions of
the cost be re-written in view
of delays and damage caused
by the Iranlraq war.

The Bandar Khomdni pro-
ject, conceived as 50-50 joint
venture between Iran and
Japan, was originally ex-
pected to cost around 5500m
(£2 53m) and was to have used
as sociated gas from the oil-
fields of southern Iran as toe
feedstock .for a 300,000 tons
per year ethylene cracker.

The cost of toe project had
been revised- upwards to $3bn
on toe eve of toe Iran-lraq
-war but it is now impossible
to estimate following exten-
sive damage to the 85 per -
cent-complete complex by
-Iraqi bombing. This -Is the .
main reason why Mitsui has
been refusing, since last
April, to spend any more
money on Bandar Khomeini.

Talks held in November
between Mitsui group execu-
tives and a delegation headed
by toe chairman oE toe Iran
National Petrochemical Com-
pany failed to produce a
formula for a resumption Of'
work.

But Iran offered to
shoulder additional costs of
tbe project In return for an
estimate by the Japanese side
of the probable amounts
involved.

Mitsui says it cannot pro-
vide any such estimate while -
the war continues and is,
therefore, demanding an un-
conditional promise by Iran
to pay aU future costs.

Joint venture for
Chiyoda and Badger

Badger of the U.S. have
received a letter of intent
from New Zealand Refining
on the award of a Y200bn
(£4 73m) refinery contract,
writes Our Far East Editor
in Tokyo.

The contract would be the
first to be carried out jointly
by Chiyoda and Badger. How-
ever, Chiyoda has experi-
ence of working with Inter-
national partners in other
markets. Last year It was
awarded a Saudi Arabian
refinery contract in associa-
tion with Parsons of the UJS.
and Technip of France.

BY MMtra* DICKSON, ENERGY OORRHSPONDWT M ^ ^ ^ political UipSeavals la»

tan - bused , National Coal Asso- .tonnes years asindustry switches from tonnes, at rise cK 4.6 p er cekt

SES%I*E 2 * 9 + reHa 72m tonnes elsewhere. _ Gtwth .■*

ixxfr • ' MefaUuigical .coal, used by 1iaJ1 was being forecast a-year. wifi be sligrtSy itoorartoan m

• * m ' -.u, s- fte steel industry, win account ggo imt U.S. steam coal ©sports 1981 because of a slower rise

.The • estimate, “J |k2m tonnes of the total, ^^tiding Canada) have risen - -

broadly to itoew^pr^teU^ tonnes of that going nil in 1978 to

analysts’ expectations, Canada, ’Riis compares with 2.25m tonnes in 1979, 14,4m.

.Respite J*® 48-fim tonnes m I9SL tonnes in .JBtt and nfiariy*2am

d emand because of the races* steam coat -used, to gmaerate
sion. . heat ip P»««

The NCA. estimates that 1982 industrial boilers will aatepp

INCREASE OF

10% FORECAST FOR THIS YEAR

Rise expected in U.S. coal expoi

in demand for dectronty xoA
toe general state of the U-&,
economy. j

TJ.S. coal production, depn*

. • _ nn J . etr*ICT •

exports will total 94.5m tonnes,
of wfcidi 16.2m tonnes will go

42.3m tonnes of the total, com-
pared to. 36.8m tonnes last year.

“H? Swt'Stwth hK been sed hyaraSay strife,

for supplies from. Poland, where the NCA says. . ■

Bleak years ahead,

BY ANDREW FISHER, SHIPPING CORRESPONDENT.

are

THE U-S. shipbuilding industry-
faces a few bleak years as more
yards become idle and thou-
sands of skilled workers lose
their jobs, Mr Edwin Hood,
president of the Shipbuilders
Council of America, said.

In a gloomy New Year
message, he said the industry
had already started to run down.
“A turnaround before 1984-85,
if then, is highly improbable.”

The U.S. industry’s merchant
order book was rapidly dwind-
ling with contracts for only
seven new buildings of 1,000
gross tons or more placed in
1980 and eight in 2981. Over

90,000 workers are employed, in
UJS. yards.

on the industry could not ie |? ’’SJA 3 ® 11 *' 5501 I

denied, he added. Nor would more planned. -.
moves to expand the U.S. Navy. A jew weeks ago, toe Ay;

“After reverse

TOSSGiS Will re main to be T rtwyiTti . I

eight vessels will remain
delivered,” he added. latest
figures from Lloyd's Register of
Shipping show a total U.S. order
book of L4m gross tons at end-
September, less than Japan,
South Korea, Spain, Poland or
Brazil

the decline to yard capacity,

“ Only ship convejpions and
repairs — now spotty— hold ***“
potential of relatively
near-term markets

the
stable
fot UK.

toe President Lincoln* e i
longest container ^hip So be bit
in fib* V£. 'nos is part ca j

$270m contract fbr toree vess (

witSi American President Lis.

' Neariy Jhidf off toe total rt
of construction will be coved

- -- ^

Subsidised U.S. shipowners peSamMic about the ^mmediate e

could now build ships abroad wUooK though optimism that v^s are |

and still obtain substantial a ^constructive natwrud b^eentoeU^. W^tOM j
operating subsidies from the strategy” may soon be set to Asia, warn finm
public treasury, he said. motion was fortified by over

The adverse effects of tois $2bn of capital improvements

Asia, wffih „ ..

scSsedcfled for between May a v
November.. \

Swaziland to build rail link

BY KRNARDSDfON IN JOHANNESBURG

SWAZILAND is to increase its
economic dependence on South
Africa by building a rail link
that will run through its terri-
tory into the eastern Transvaal
and to tbe port of Richards Bay,
north of Durban.

The 115 km line, from the
South African town of Komati-
poort to Mpafer in eastern
Swaziland, will complete a' rail
route from the Transvaal to the
Natal coast 250 km shorter than
the existing route through
South Africa.

According to a senior official
of Swaziland Railways, the line
will cost R50m-R60m (£27m-
£32m) and will be completed

in 19S4. Financing arrange-
ments have not been finalised,
but the South African Govern-
ment is understood to be
■willing to contribute part of the
cost

The main beneficiaries of the
line will be South African
exporters of phosphoric arid
and phosphate rock produced at
Phalaborwa in the north-east
Transvaal, and timber growers.
Coal from a mine to be built in
the Kangwane tribal homeland
close to the Swazi border will
also be shipped by rail via
Mpaka.

According to Swaziland Rail-
ways, revenues from the line

the railways’
and help it

should eliminate
operating deficit _

repay loans for construction of
the southern part of the
Richards Bay route, completed
several years ago. “ Tbe profit-
ability of the route will depend
on South African traffic,*’ an
official said. -

The ting will also serve Swazi-
land’s coal mining industry. A
Shell Oil subsidiary has shown
interest in exploiting coal
deposits near Mhlume in north-
east Swaziland. The new line
will cross the Mhlume coalfield,
giving a mine the choice of
exporting through Richards Bay
or Maputo.

Beira-Umtali oil pipeline ready

BY OUR SAUSBURY CORRESPONDENT

THE OIL pipeline from Mozam-
bique's Indian Ocean port of
Beixa to the eastern Zimbabwe
border city of Umtali is ready
for operation after lying dor-
mant for 15 years, according to
businessmen.

They say the 180-mile pipe-
line. crucial to Zimbabwe's
plans to end dependence on
South African roads and rail-
ways for fuel supplies, is await-
ing a tripartite load tariff agree-

ment betwene its owners, Lon-
iho, and the Salisbury and
Maputo Governments.

Mozambique bad initially
asked for charges to Zimbabwe
equal to the cost of railing fuel
from Beira, a levy Salisbury was
unwilling to meet

The completion of the pipe-
line's long-awaited rehabilita-
tion after years of enforced
inactivity following the imposi-

tion of trade sanctions against
the former Rhodesia in 1965
was recently delayed by guer-
rilla sabotage by [the Mozam-
bique National Resistance
(MNR) which Mozambique and
Zimbabwe allege is organised
and financed by South Africa.

Zimbabwe gets all of its
diesel fuel, 30 per cent of its
petrol, and half of Us aviation
fuel from or through South
Africa.

V

Solvay to altei
supply
agreements

By Giles Merritt In Braswb , \

SOLVAY, the Belgian die;. 1
cals concern and the work <
top producer of soda ash, ft
agreed to European Comm
sion demands that it shou : -•

alter its supply agreements wii 5

EEC glass manufacturers. It : <
of the UK, the second largei 1 i
producer in Europe, is also t •
change its supply policies. ' v

The Brussels Commission’s ! ’
pressure on the two major soda i •
ash producers stems from con- i
cere that their* exclusive, long-
term supply contracts with,
certain glass manufacturers j
were in breach of the com-. ■
petition rules of the Treaty of |
Rome. J

The Commission’s action also
reflects complaints from the •>
glass industry that the exclusive <
soda ash contracts tied manu- 1
faeturers . to a sole source of
supply, and prevented :them
from obtaining additional sup-
plies elsewhere when those
were needed to boost output
and fulfil orders.

Solvay has undertaken to
abolish its system of exclusive
contracts, and Id has agreed
in principle to accommodate the
Commission’s view by changing
its supply contracts.

Bangladesh : die battle begins to increase exports

by Kevin rafferty, recently in da’cca

BANGLADESH has embarked
on one of the biggest tasks of
its ten-year existence with a
proposal to increase exports by
81bn (£526m) a year within the
next five years.

"Otherwise,” said Mr Jama-
luddin Atoned, deputy Prime
Minister and Industries Minister,
“we cannot survive.’’

He proposes to boost exports
through a mixture of large
projects using natural resources
and smaller schemes which will
utilise Bangladesh’s major
resource— its abundant labour
force, which is probably the
cheapest in the world.

The scale of falx proposal
must be seen in the context of
the country’s overall - trade,
which is scarcely $3.5bn a year.
The deficit has widened - from
5380m in 1972-73 to an originally
projected $Zbn for this year

before the cl amp down on all but
essential imports.

During The eight years, ex-
ports have risen from 8347m to
between the 8750m to $S00m
expected this year.

In spite of valiant efforts at
diversification, jute still
accounts for 65 per cent of ex-
port earnings, but it has been
hit by world recession and by
Bangladesh's production prob-
lems.

Jute crops have fluctuated
and jute goods have been dis-
turbed by industrial unrest ana
by poor management*

Expansion of non-tra di tion al
items has been hit by recession
and by marketing problems. Ex-
ports of leather goods reached
a peak of 876m in the 1979
fiscal year. Fish and shrimp
exports have had to fight .an
uphill battle through stiff health
regulations in developed coun-

tries and are expected to reach
$50m for 1981.

Because of the dominant
role of the struggling jute
industry, exports have fallen
further behind imports, with
the gap being bridged by aid
flows, making Mr J am alud din’s
export target seem elusive. But
there are some hopeful signs.

The first is the plan to use
the country’s 9 trillion (million
million) cu ft of natural gas
reserves to support big -indus-
trial projects.

A 500,000-ton fertilser plant
is just coming on stream and
two others are to be one
-with help from the Asian
Development Bank anfi the

other in the private sector _ ^ ^ a

Norsk Hydro. The fertilised bring Bet up near” C2fbteg6n&

.plants will cost about 8450m Bangladeshi main I

each. • zone 1

. addition, a 8200m sponge- Mr Jimaibddto^optiSc Seto
iron plant using Bangaldesh that things are on tbTmSre: Soeire

natural gas and iron ore pel-
lets from India and a 8250m
methanol plant will also expand
the range of Bangladesh
exports. Mr Jamaluddin says
that other projects could
include a palp and paper plant
using jute cuttings.

The Mg projects alone could
provide half toe extra targeted
exports. By toe noddle of toe
decade, Bangladesh should be
producing lm tons of urea for
export, which at today’s prices,
would fetch $250m. Mr
Jamaluddin estimated
export earnings from toe sponge
iron piant at 8150m and from
the methanol plant at 8100m.

Hop® is also being pinnetf on s&ort

“100 plots of land are sow
ready for immediate allotment.
The infrastructure is laid on,
and toere are two Mods of
standard factories phis a central
warehouse.''

In February, Bangladesh and
the UN Induiteiai Devetofnrent
Organisation will be hosts -in
Bangladesh to more than 200.
companies and will explain to
them toe advantages of setting
up fin toe country.

Mr Janmludd&n’s optSmism is
tempered, by toe vtiewx of
economists who are concerned,
art toe low Bteracy rate — 22 per
cent -— rand hSghdy gm&tidrad
labour force.

The lack off mturzfi resources,
from, gas,

Evan Lnard argues that the International Monetary Fund should apply altered criteria for credits to Third World countries

case

income

ALMOST since the International
Montary Fond (IMF) began,
there has been argument about
“ conditionality ’’—the terms the
Fund should demand in return
far providing credit

Traditionally toe IMF acted
Von the basis that if a country
had a balance of payments
problem, it must be its own
fault The government must have
, allowed the economy to over-
heat, inflation to develop and
• the price level to get out of
1 line, so that exports became
uncompetitive and imports were
sucked in.

Thus the tenns which the
‘ IMF demanded in return for
a credit related to domestic
fiscal and monetary policy. The
Fund insisted that credit was
squeezed, public spending cut,
budgets .balanced, consumer
subsidies abolished and, if
necessary, toe currency de-
valued.

Many people in developing
countries, for example the
^structuralist” school of
. economists in . Latin-America,

■ complained from the b eginning

that these prescriptions,- affect-

ing the financial, sector rather
-than' the real economy yet
involving a heavy "sacrifice of
growth, were inappropriate to
toe problems facing many
developing countries.

In the past few years these
complaints have become more
widespread and received some
support in the West In the
circumstances which poor
countries now face, the tradi-
tional analysis looks increas-
ingly inadequate.

In most cases, the balance of
payments difficulties of develop-
ing countries today do not stem
from domestic causes at alL
They arise from factors in the
international economy which
are totally outside their control.
They have large deficits mainly
because of factors like toe
increase in oil prices, world
inflation, world- recession, low
commodity prices, and high
interest rates. Therefore how-
ever orthodox and austere their
own financial pedicles may be
they can still end up with huge
deficits which cannot be easily
or quickly overcome.

The IMF has adjusted its

policies slightly in response to'
thas situation. In' 1979-80 the
fund agreed it would lend more
to countries in ififficuJties. over
longer periods, and above all on
rather less rigorous conditions.
This new policy has been
reflected in recent credits such
as those granted to Zaire,
Jamaica, and in toe last
few months.

The Fund still calls for
measures of “ ad jnstment n as
the price for a loan, hut these
are now adjustments of a more
long-term character, including
the development of alternative
energy sources, new exports and
ing>ort-saving industries.

Uitfortunztely, however, no
sooner was the new IMF pokey
adopted toon, the Reagan
Arintinfatoation was elected in
theUB. The Reagan Administra-
tion immediately began to qnes.
tion toe policy- It demanded
a -return to the prevnous condi-
tions for foans (toe recent
credit to India almost foundered
on toe rock of these objec-
tions).. . . .

So tbe old argument about

conditionality has surfaced

No sensible person believes
that the IMF, any more ttflan
any other financial institution, is
likely to lend without demand-
ing cany conditions. Not many
people believe It should. The
question is what kind of condi-
tions Is it relevant and sensible
for (he Fund to demand, in
current <toiounslaiices?.

It is arguable teat in toe
concfitrons flaoing many poor
countries the rid Mz>d of oondS-
tionafity may produce toe
opposite effect to that intended.

Policies of over-strict credit
restraint, together vsfitfi old-
fashioned “ tiberafisation ,” of
toe kind recently adopted in
Chile, Argentina, and Peru,
may lead to an almost auto-
matic deterioration in toe
balance of payments. Vary high
interest rates, which are an
essential dement of the pottcy,
waft leadi as they have done in
toe UK aod the U.S., to in-
creased costs and oaotimting
Wgh inflation. They will cause
real hardship both to local

industry, and above- aft to ithe
local agricultural - population,
who are " usually dependent on
credit to their hvrii-

hood.

Liberalisation leads to a rapid
sucking-in of imports, especially
of luxury Western-style con-
sumer goods for toe wealthy
classes— toe wealthier classes
are almost alone in being able
to take advantage of the new
policies. This flood off imports
from abroad, together with toe
high cost of credit; causes
severe difficulties for local in-
dustry, so that bankruptcy and
unempdoyment increase.

The effect of toe policies may,
therefore, be a prolonged de-
pression of the domestic eco-
nomy and much increased
unemployment, without any im-
provement, and sometimes with
a serious deterioration, in the
balance of payments. This is
exactly what has happened in
countries including Ghjip,
Argentina and Peru.

This suggests that toe kinds
of poHey toe IMF used to
demand, and which are now

being: called for again by. the.
US. are . unlikely to bring
lasting improvements by them-
selves alone.

Policies against inflation are
bound to be demanded. But
equally revel ant, and particu-
larly relevant when an anti-
inflationary policy is being
pursued, is another condition,
which toe Fund has been too
reluctant to call for is a demand
for the redistribution of income
in favour of toe less wealthy
classes.

This would have two effects.
First: It would reduce the
propensity to import, especially
to import expensive consumer
goods. Consumer demand would
be transferred towards the pur-
chase of food, so helping to raise
producer prices and stimulate
food production, and towards
the purchase of simpler and
cheaper consumer goods which
local industry can provide and
which therefore do not create
a strain on the balance of
payments.

Second: At the same Hme it
would help stimulate invest-

ment in _ sim p/o T - ' industr ies'
related • to domestic , require-,
meats and likely, to come from
domestic sources, - instead - of
stimuJating external investment
concerned mainly - with . toe
needs of external economies, and
requiring heavy repayment
costs.

This would mean that toe
balance of payments Inxbalance-
w°uld be more rapidly over-
CMQ8- In addition the benefits
of competition are more likely
to be tested when markets are
Expanding than- in; severely
-depressed conditions which
«ten lead to the destruction
of much local industry. - .

Certainly there should be far
“bre public discussion of the
policies pursued by the IMF- on
such questions-rond. hot only
within the Fund itself. These -
policies can be a matter off pro-
found imfportance to many-
developing countries, _sm impor-
tance Which will increase ax the
IMF's role continues, to grow./

Euan Luard fe a former .
Labour MP for Oxford now.

. vxrrking for Oxfom*

' dabw se m««tU b^t«w«n> .
July 1976 and March 19CH -
. >:/ '/Total-
..(minianfof

Member Country'

Buigadech

China

Mb

Morocco

FakERan :

Philippines.

Sri Lanin .

Thailand

Zaire

snu*)
.122
310'
184
539 - .
_l»
230
: 151 -
95 '
131 .
TIB.

* The SDR {Spacnf Drawing Rjfht)
is the - IMP* inte rn at ion al mar v*
*n*t based, on a basket rf
currencies one SDR b carrentJy
worth 81.17.

. Source: IMF t *nnu*l report fSSt

3 3 3< 33 - . '• •

• ■ • '.■- -.-. • : :. v ;. •■'•' „ ' . ;:

•:: > • •' •■. '*<: ' . * f. t:y‘ - [;■: :.r ':■ ,..

In many overseas markets {public and private
capital expenditure is being cut back.

way or an airport, it cpu|d easily mean financial hardship

our exporters.

• This ‘domino effect 1 may not yet have made your
own exports any less profitable. But it is one more way in
which exporting is becoming more of a risky business,

where no-one can take payment for granted.

t-un CvnhiM- rvartits p?i iprahtep. npnartment

IS paying Out/ mare anu 1 1 i.ui a u. . «««. .wu w. ..j . . ■ .

politically shaky.countnes, but frorntpaditionally stable

ones as well. . '

Recently a British engineering firm supplied con-
struction eguipment to a customer in the Middle East

But the customerfell victim to circumstance since
the orders for the plant he had received were suddenly
cancelled.This meant that he in turn had to let down his
own suppliers when payment fell due.

Fortunately, the British firm had covered itself with
ECGD, and was reimbursed to the tune of 90% of its
losses.

ECGD offers a full credit insurance service which
covers you for non-payment on exports of goods or.
services, worldwide — no matter whether it’s the
customer or the country that fails.

But this is by no means the Department’s only
service to exporters.

For example, ECGD can also open up sources of
cheap exportf inance,by giving cover direct to a financing
bank.

If you’re exporting anywhere in the world, however
safe it may seem,you should at least find out what ECGD ■
has to offer.

. Call Joan Swailes on 01-B0B BB99, or contact one .
of our regional offices in Glasgow, Manchester, Belfast, j
Birmingham, Leeds, Cambridge, Bristol, Croydon or
City of London.

Because if the worst ever comes to the worst, t
why should you end up: paying for your own exports?

3

EXPORT WITH COIUHOEitiCE.

3

Financial Times Wednesday January 6 li

UK NEWS

BL car output ‘will increase by 14%

STKENNETH GOODING IN BIARRITZ

BL'S OUTPUT o! cars and car-
derived vans this year will 50
up at least 14 per cent from

384.000 in 1981 to between

450.000 and 500.000, according
to Mr Fay Horrocks, chairman
of BL Cars.

The last year in which the
group produced 500.01)0 caw was
197S. In 1981 there was a 9
percent rise in production from
360.000.

Mr Hnrrocks said this perfor-
mance reflected BL's huge capi-
tal investment programme —
running at £350m a year— and
successful products such as the
Metro and Triumph Acclaim.

Car production at Longbridgo
in the Midlands, where the
Metro and Mini 3re produced,
rose from 123.000 in I9S0 to.

335.000 last year. BL expects
its other volume car plant at
Cowley, Oxford, to repeat that

performance this year.

It forecasts that output at
Cowley will rise from about

100.000 vehicles to more than

150.000 this year.

Cowley produces the Triumph
Acclaim and by the last quarter
will also be building up' output
of the LM10. the medium-size
car which is part of a range
BL says is even more important
to its ‘future than the Metro.

Mr Horrocks. speaking at the
preview of a BL car which will
be launched soon, said the com-
pany was thp only UK-based
car maker to have increased its
market share and unit sales last
vear. “The facts and figures
show BL has started to turn the
corner," he said.

Productivity at the Long-
bridge and Cowley plants had
risen one third in the past year
and was in line with the best in

Europe, he claimed. Quality of
the cars had improved to the
extent that Honda, BL’s partner
in the production of the
Acclaim, admitted that the
quality of the British-built cars
was better than that for similar
vehicles coming off production
lines in Japan.

Mr Horrocks said car produc-
tion this year depended on
whether the total UK market
reached the 1.5m sales forecast
and on whether the pound con-
tinued to weaken against Con-
tinental currencies. If the
pound went down slowly the
company would he nearer
450,000 than 500,000.

BL hopes for a UK market
share of about 21 per cent this
year, up from 19.2 per cent. But
its dealers reckon 23.8 .per cent
is an achievable target.

With the benefit of a full

year's sales of the Metro and
the introduction of the Acclaim
to Continental markets this
year. BL expects sales on the
Continent to reach more than

90.000 compared with about

84.000 last year.

The Metro ended the year in
the UK with the benefit of a
special “bonus deal*’ to dealers,
which resulted in it taking 10
per cent of the available market
in December.

The Mini is also doing well
and output will be increased
from 1,000 to 1,200 a week.

BL wiB start selling the Mini
in Japan in April but in small
numbers because the price of
the heavily modified vehicle will
be two to three times that for
comparable Japanese cars.

The success of the Acclaim
meant 150 more people were
needed at Cowley. About 800

more jobs would be created at
the year-end as output of the
LM10 rose. Preference would
be given 40 previous employees
of the MG plant at Abingdon.
Berks, which BL closed some
.months ago.

The £250m LM1D programme
is on schedule and pilot produc-
tion is due to begin in nine
months.

Mr Horrocks said there would
not be a vacuum in BL's product
launches before the new medium
cars arrived. For example, in
the early part of 1982 BL would
introduce a revamped Rover
range, the Ambassador — the
replacement for the Princess,
more Metro derivatives and
there would be significant
changes to the Mini and tbs
jaguars as well as car-derived
vans.

? Richardson
sent report
,£ on Royal
is Bank of
Z Scotland

Car company hopes its £3,000 Kingfisher model can net success

BY JOHN GRIFFITHS

BRITAIN’S NEWEST— and
smallest — car maker bas gone
into production in Rotbbury.
Northumberland.

The venture, attracting
county council financial sup-
port, is in the tradition of
salaried employee staking all
to become entrepreneur.

Kingfisher car company has
advance orders for 20 ears,
initially to be built at the rate
of two a month, in a

2.500 sq ft factory let rent-
free for two years by English
Industrial Estates.

Mr Roger King, its founder,
a 34-year-old former school-
teacher. bas reserved a further

5.500 sq ft nearby to prepare
for expansion.

The first car came off the
line this week— a 1330 cc
turbocharged glass fibre
bodied coupe based on Mini
mechanical components. It is
claimed to cruise at 100 mpfa
and return up to 40 miles per
gallon. Convertible, sports
and family estate versions are
to follow.

Prices for a fully-finished
vehicle start at £3,000, sur-
prising figure until the pro-
duction approach Is explained:
the cars are being bnilt with
re-manufactured BL com-
ponents.

They are classified by law
as not new, and escape crash
testing and the 10 per cent
car lax. A consequential quirk

Ex-Ladbroke man for
Trident casino board

BY DUNCAN CAMPBELL- SMITH

MR WARD THOMAS, chairman
of Trident. Television, has
appointed Mr Gerald Kushler,
a former Ladbroke Group casino
manager, to the board of the
new subsidiary that will run
the • casino interests Trident
acquired from Playboy.

The deal was approved by
Trident shareholders yesterday,
with only two dissenters.

Mr Kushler left Ladbroke in
1978 and more recently has been
working in Alicante. Spain. Lad-
broke was deprived by the
courts of licences to operate its
four London casinos in Decem-
ber 1979 and May 1980.

The' presence of experienced
gaming directors, albeit at sub-
sidiary level, is expected to be
one of the factors influencing
Trident's fight to retain licences
for the former Playboy clubs. It
begins an appeal on January 25
against the October decision of
the licensing magistrates not to ■
renew licences for the Playboy
and the Clermont.

.Also on the subsidiary's .
board are Mr Peter Neivens, the
former deputy assistant com-
missioner at New Scotland Yard.
Mr Thomas and two directors
appointed by Trident.

Mr Thomas confirmed yester-
day that he hopes to add one
more gaming director and a
number of non-executive direc--
tors. There is speculation these
could include Mr .Jack Gill, the
former Associated Communica-
tions Corporation director

Mr Ward’s comments followed
an extraordinary general meet-
ing to consider the company's
purchase for f 24.6m of Playboy’s
UK organisation.

No questions were put from
the floor in response to the
resolution, proposed by Sir
James Hanson, a Trident direc-
tor, approving the purchase. It
was passed on a show of hands
and the deal will be completed
on Friday.

Replying to questions about
Trident’s future, Mr Thomas
defended the arrangements for
Sir Gordon White and Mr
Charles Sweeney to together
■ receive 5 per cent of the equity
of Trident's casino subsidiary in
consideration of their role «s
intermediaries to the Playboy
deal.

“I have to say. it really
wasn't open to us as an option
simply to pay a finder's fee.”

Hen and Matters, Page 12

is that they will be the first
"new” cars to be delivered
from a manufacturer com-
plete with MoT certificate.

None of this has dissuaded
Northumberland's industrial
development officials from
hacking the project. Mr Robin
Blrley, county council chair-
man said it was a major land-
mark for the county’s scheme
to help small businesses.

Mr King and three others.
Including former Cosworth
raring engine builder Mr Jim
DeaJdn, have pat together
£50.000 for the venture-
much of it from the ssie of
Mr King’s former home

Some £2,000 is in the form
of a direct grant from the

Cornwall
police chief
to quit

By Ltsa Wood

MR JOHN ALDERSON, Chief
Constable of Devon and
Cornwall Constabulary, an-
nounced his resignation from
the force yesterday.

A pioneer in the controver-
sial field of community
policing, which now extends
throughout his force, Mr
Aldersoo. aged 59, will leave
his £22,000 a year job in
April.

He will then take up a
fellowship, for the spring
term, at Corpus Christie
College and the Institute of
Criminology at Cambridge
University.

He is known to be
sympathetic towards Liberal
policies. But he has scotched
speculation that he might
become a Liberal politician.

M I have no job in the offing,
and 1 hope you will disregard
the speculation,'’ he told
members of bis police
authority yesterday. -I can-
not put it more clearly than
that I would not like any
motives to be imputed in my
decision to retire."

county, which is helping King-
fisher seek further grants
for expansion through re-
gional aid schemes. Mean-
while, some of the team,
including Mr King, have been
provided with "key worker"
council homes while they
attempt to get the project off
the ground.,

Mr King says the re-manu-
facturing of original com-
ponents is not a drawback.
Cars are being delivered with
a 12-month unlimited mileage
warranty.

He admits that Kingfisher
could he seen as only the
latest in a long string of
specialist builders which have
sprouted, and disappeared.

“But we have set this up
hv learning from their mis-
takes." He has vowed to avoid
Die principal pitfalls for
many past ventures, of heing
tempted into exotic GT car
projects while “bread and
butter ” vehicles have yet to
establish cash flow, forays
into motor sport and trying
to expand production too
quickly.

“We shall concentrate on
the cars we have announced
and those only. Even an
output of a car a week is
about two years away; we are
going to be happy to follow
the Morgan route, where
there can be a waiting list of
three years or more."

Decline in footwear
trade may be over

BY ANTHONY MORETON, TEXTILE CORRESPONDENT

TENTATIVE SIGNS are emerg-
ing that the savage decline in
the footwear industry has come
to an end.

There is a feeling in the
industry that the enormous de-
stocking which took place in the
first six months of last year has
ended, and that slocks in the
shops are about right for the-
level of potential demand. The
outlook for 1982 is not nearly
so gloomy as a year ago.

Companies which have
managed to weather the reces-
sion are therefore well placed
to meet strengthening demand.
They are helped by a weaken-
ing of the pound against many
of the Continental currencies.

At the wholesale trade level,
buying is extremely price-
conscious. The upward shift in
Continental eurrences has led
buyers to look increasingly to
home manufacturers.

This indicates that the decline
in UK employment may also be
near its bottom. There are about
BO.OQO working in the industry
now compared with 88.400 a
decade ago. But the figure is
not likely to fall much below
58.000 unless the economy
deteriorates.

Imports appear lo have risen

-steadily last year, amounting to
about 120m -pairs— about 13 per
cent more than the record 106ij
pairs in 1980.

They account for just over
one -pair out of every two
delivered to the shops. Nine
years ago imports accounted for
less than one pair in every-
th ree.

Official figures from the
British Footwear Manufac-
turers’ Federation have still to
confirm these trends. They are
expected to verify the feelings
in the trade in about two or
three months.

But they already show that
13m pairs were delivered from
British manufacturers in
October, compared with 12.6m
in September.

The most encouraging figure
is of manufacturers' orders. The
15.1m pair ordered in October
were 15.3 per cent higher than
a year earlier. In the five
months from June to October,
ihere was a 36.5 per cent jump
in orders.

The international picture con-
tinues to be obscured by the
civil servants strike. There was
a sharp rise in imports in
Ocrober — as well as a rise in
exports.

Penlee disaster fund will go to widows and dependants

ALL BUT a “very insignifi-
cant" amount of the near £2m
Penlee Lifeboat Disaster Fund
wiM be distributed to the
widows and dependants of the
drowned men, it was agreed
yesterday.

After a meeting between
fund trustees and Sir Michael
Havers, Attorney General, Mr
John Moore, chief executive of
the Pen with district council,
said it had been agreed that the
fund was a private trust, not a
charitable trust

“Sir Michael saw no reason
to question this decision and
advised that we can safely pro-
ceed on this basis," he said.

Mr Moore said capital trans-
fer tax might have to be paid
on some single donations of
more than £3.000 but that these
were few. The tax woudl be
"very insignificant"

Yesterday’s derision clears
much confusion surrounding

the fund's tax and legal position.

As in the past — notably after
Aberfan — the establishment of
a Penlee Fund was a spon-
taneous reaction to human
tragedy.

The most important considera-
tion was to get money in
quickly. Understandably, this
meant that complicated legal
and tax implications were not
fully appreciated.

As donations arrived organi-
sers were uncertain whether to
register the fund as a charity
or whether to opt for non-
ehari table status.

The normal course might have
been to go for charitable status
because "of the tax advantages.

In this case, however, there
were drawbacks. Charities are
allowed to help people only in
the following ways: through the
relief of poverty; the advance-
ment of education; the advance-
ment of religion; and other pur-

Tim Dickson reports on
the agreement reached
over the status of the
fund raised for relatives.

poses beneficial lo the com-
munity.

Religion and education are
not relevant but legal experts
believe that the interests of
eight bereaved families might
not have been great enough lo
qualify for "other purposes."
That left "relief of poverty"
which many felt did not square
with handing out £Jm to each
of the households which have
lost a man.

The stojy is further compli-
cated. There are, for instance,
two other funds set up in re-,
sponse to the disaster. One,'
the Local Fisherman's Fund,
has already distributed around
£25,000 to each widow.

This fund made it dear that
it is simply acting as a con-
duit — and- should not therefore
encounter the same problems
— but its distributions have
arguably gone a Jong way to-
wards " the relief of poverty."

*nien there are the motives
of the thousands of people who
have sent money. These are
impossible to define but most,
doubtless, expected their cash
to end up directly with victim's
relatives, not on community

S urposes or even on the Royal
rational Lifeboat Institution —
a possible benefiiciary if not all
the money went to the families.

The tax position, for those
concerned with a private trust,
is as follows:

% Donors. Charitable donations
are normally exempt from
Capital Transfer Tax but since
this is not a ch aritable trust
the normal CTT rules apply.
There is. however, a £3,000

annual exemption so that most
contributors will be unaffected.
If the Inland Revenue finds nut
about donations above this
mark, a cumulative lifetime
total of £50.000 is also tax free.

• The Trust. A private trust
does pay income tax so there
may be some to pay if the
money is pul on deposit. The
CTT liability will be based on
the position of individual con-
tributors but snee the Inland
Revenue will have nn idea what
this is it is almost certain that
there will be virtually no tax
to pay.

# The recipients. No tax will
he payable nn receipt nf any
capital, though once Ibis is
reinvested income tax _will be
paid on any income "in the_
normal way. Tax would be paid”
if the money were to be
distributed by the trust as
income.

Woodworkers prove that quality pays off

THE ENTIRE workforce of a
Kent joinery company travelled
recently from Aylesford to a
reception specially for them in
the new offices, of *he Bayerische
Landesbank Girozentmle near
London's Guildhall.

The joiners and apprentices
were -there to sec their com-
pleted work— the £160,000
refurbishment of the eight-
storey building, including the
making of dealing desks and
reception desk. Mr Colin Chees-
jtnan and Mr Howard Grey,
directors of the Colin Chees-
man joiners', asked the bank if
they could bring their men .to
see the finished job.

The Bayerische Landesbank
were so pleased with the quality
of the work and the fact that
it was completed within the
nine weeks specified - that rbey
paid half the cost of the trip
and reception.

“This is an unusual company.
We will nol make flimsy, cheap
or nasty things. Wg are
interested in giving craftsmen
back satisfaction in their jobs
so that they can take a pride in
what they are doing,’’ Mr Grey

Raymond Snoddy describes how jobless craftsmen
have built up a thriving enterprise

The company, which last May
moved into a former cash-and-
earry warehouse in an indus-
trial estate on the outskirts of
Aylesford, has. already refur-
bished* the First National Bank
in London and done work for
the Al-Saudi merchant hank.

There ore high hopes for
landing a £250,1100 con tract for
refurbishing another merchant
■bank and the company is
already in the black and on
target for a £lm turnover in
its first year.

Colin Cheesman Joinery plans
to specialise in bank, office and
shop -refitting, but its also ready
to undertake high-quality one-
off jobs other companies are
not interested in. The company
has just finished a £6,000 swim-
ming platform for the pool in
Paul Getty's old house and is
making 20 dealings desks foe
the Swiss Bank.

All but three of the 40 work-
force, which includes three
apprentices, had either been
made redundant or were faring
redundancy. A dozen, lost Iheir
jobs when an Isle of Grain
joinery - collapsed. Others were
facing .redundancy in Chatham
dockyards.

• Mr James Sweet turned up
outside the Cheesman joinery
the day after, losing his job.
looking for work at the age of
$2. And he found it

One day last month, .Mr Robin
Leigh-Pemberton, chairman of
the National Westminster Bank,
travelled to Aylesford, to open
Officially the premises . of one
of his more modest customers.
As he stood beside a large
sanding machine he was watched
by Mr John Stanley, the
Housing Minister, and repre-
sentatives of Arup Associates
and the Bayerische Landesbank.

Mr Leigh-Pemberton said he

was there because Colin
Cheesman and Howard Grev
"represented what we need in
this counlry today — creators
of wealth. Doers who had
created jobs for men who might
otherwise be unemployed."

Later, silting on a garden seal
made for him by ihc joinerv
apprentices. Mr Leigh-
Pcmborton explained there was
another, more personal, reason.
He .had played cricket in the
same Torry Hill team as Mr.
Cheesman, and as a boy during
the Second World War he had
helped bring in the harvest on
ihe farm of Mr Cheesman'. 1 r
fathcr-in-law.

The architects and designers
sipping a glass of wine among
the wood-working machinery
said they had come to the
opening because Colin
Cheesman was a very unusual
person who made sure that jobs
were done skilfully and on

time.

The new company is fhe
result of the frustration of two
directors of the Canterbury-
based Wiltshier group of con-
struction companies.

Mr Cheesman, aged 46,
joinery director of Wiltshier
International Interior Contracts,
and Mr Grey, a chartered
acountant and group financial
director, disagreed with the way
the company was being run.
They resigned and started up
on their own with £50,000 share
capital.

The company, with a staff of
70-8n, is aiming for a turnover
of £3m within the next two or
three years. Mr Grey hopes a
microcomputer might .he pos-
sible sometime this year.

But just as Mr Cheesman him-
self is “devoted" to setting
jobs on lime so he is ruthless
with suppliers who cannot meet
his standards. While the official
opening ceremony was on two
nir stapplers were delivered.
They had been promised 24
hours earlier and Mr Cheesman
told their deliverers to take
them away.

By William Hall,

Banking Correspondent

i The Government has sent a
copy of tbe Monopolies and
; Mergers Commission (MMC)
f report on Ihe rival bids for
1 the Royal Bank of Scotland
! Group to the Governor of the
! Bank of England, Sir Gordon
Richardson- . .

The Bank of England is one
of several official bodies which
now has a copy of the report s
findings but it is more
interested than most in the
1 3RlCs conclusions since these
are expected to cover sensi-
tive issues such as the Bank s
role in controlling takeovers
in the banking system.

The Bank of England has
I supported Standard Chartered-
; Bank in its agreed bid for
( the Roval Bank of Scotland.

! However, HongKong and
Shanghai Bank also wants to
bid although It does not have
the support of the Royal Bank
board and, as a result, is in
1 conflict with the Bank's guide-
j lines on hanking takeovers
which reqpfres them to be
] made with the agreement of
; both sides-

The MM Cs report is
expected to cover the issue
of the legitimacy of the
Bank's 1972 takeover guide-
lines. It has been argued (hat
in the current era of com-
petition such restrictions
should be abolished since
I they prevent banks being
lakes over if the manage-
ment opposes this. Other
companies have no such
protection.

Three companies in
energy-saving venture

THREE British companies
involved in industrial energy
have formed a joint venture
to market energy-saving ser-
vices to industrialists world-
wide.

The companies — Greens
Economisers of Wakefield,
Peter Brotherhood of Peter-
borough, and White Young
Project Engineering of Runr
corn— will concentrate on
waste brat recovery systems.
The consortium, operating
under the banner Unipower,
will undertake the type of
work being encouraged by
Energy Department ministers
and officiate.

Cruiser runs on
sunflower oil

SUNFLOWER OIL is being
used to power a 25-foot motor
cruiser iu Cambridgeshire. Mr
Ian Kerr, a company dirictor,
who operates the boat from
Litlieport, near Ely, says he
is thinking nf extending the
Idea to the 120 other luxury
cruisers his Derby-based com-
pany hires to holidaymakers.

The project is supervised
by the Perkins diesel engine
company at Peterborough. It
warned other boat owners not
to experiment with sunflower
oil

Inquiry deferred

A PUBLIC Inquiry into a
Canvey Island methane plant
opened yesterday hut was
deferred to January 25 to
enable the British Gas
Corporation, which runs the
plant, and the Government
Health and Safety Executive
to study evidence.

Strathclyde job boost

STRATHCLYDE Regional
Council's Economic and
Industrial Development Com-
mittee will have its budget
trebled from about £500.000
to £ljm to create jobs. The
council expects that the
European Social Fund will
provide another £Im by mid-
April, to create a total of
2,000 jobs.

Datsun prices up

DATSUN UK Will raise the
prices of three of its most
popular aiodels by an average
2 per cent on January 20.
This means prices of the
Cherry, Sunny and Bluebird
ranges • will have risen
between 10 and 11 per cent
io the past 12 months.

CB radio warning

COASTGUARDS bare warned
boat owners against using CB
radios. The Department ’of
Trade said CB raios offered

only a 30 per cent chance of
a distress call being heard
and relayed to the coastguard.
Marine band gave a 98 per
cent chance.

Ship fund on target

THE I'TJND to raise Henry
Vni’s favourite -warship, the
Mary Rose, from the seabed
off the Solent reached its
19R1 £2m target after a
£50,000 gift from Dr Armand
namtner, head of Occidental,
tbe U.S, oil company.

Three-day week

ABOUT 2,000 employees of
the Mlchelin Tyre Company
at Stoke-on-Trent ■ have
started a three day week.'

Davy subsidiary

THE FULL name of the Davy
Corporation subsidiary named
in our December 1 feature op .
UK industry's labour shake-
out as British Testing is
Lloyds British Testing. 1

Bank giro cr
traffic declines !

BY Y/ILUAM HALL, BANKING CORRESPONDENT

A SHARP drop has been
recorded in the volume of busi-
ness passing through the clearing
banks’ giro credit system— used
by customers to pay bills— since
the introduction of charges last
summer The extent has sur-
prised many bankers.

In November, the volume of
jnter-bank credit, clearings
dropped by 16 per cent to 15.4m
items, acording to confidential
figures compiled by the Com-
mittee of London Clearing
Bankers.

When the first bangs Intro-
duced charges of 30p per item
for inpayments by non-customers'
a temporary fail in traffic was
expected.

In June, the volume of credit
clearing between banks fell by
5 per cent. In July, it was down
10 per cent. However, the
decline has accelerated. In
August and September, traffic
fell by 8-9 per cent, and in
October there was a 14 per cent
fo-
under the ' previous system
any bank branch would process
the payment of bills free of
charge through the giro credit
system. .

Until the banks started charg-
ing non-customers, the volume
of the giro credit traffic had
been growing at an annual rate
of about 8 per cent, bavins
doubled since 1970. amounting
to 200m items a year. In the
opening months of 1981,
volumes continued to grow but.
since tbe summer, there has
been a -drop in the number of
transactions and in the first 11
months of the year overall
volume is down by 3 per cent.

Some transactions have been

re-routed via the customers’
own branches to avoid charges.
But preliminary evidence sug-
gests that many customers are
making alternative arranger
ments. This is causing some
bankers anxiety since they felt
that the charges are hampering
their efforts to encourage
people without accounts to
acquire' the banking habit.

The banks are automating Ibe
giro credit system to itar-dle
more business and contain "the
rapid escalation of cosis. If the
define in giro credit business
continues at ' its recent rate,
some bankers, wonder witeiher
investment in modernising the '
system is justified.

The banks’ main rival in this
area as ihe state-owned National
Girobank. In a move to win
business from the . banks, it
recently announced a temporary
suspension of Its 30p per ifrn
charge for payment of gas and
electricity bills. It unit review
the situation at the end cf
March.

Fall of $1 16m in gold
and currency reserves

BY DAVID MARSH

BRITAIN’S gold and foreign
currency reserves fell $16m last
month to finish 1981 at $23.35bn.
making a fall of more than $4bn
in the year, according to
Treasury figures published yes-
! terday.

The fall in the past 12 months
is almost entirely accounted for
by a reduction in Britain's
foreign debts.

The decline in December—
the ninth fall out of the past 10 .
months — seems to have reflected
some-small net sales of- curren-
cies by tbe Bank of England to
steady sterling during its erratic
fluctuations last month. It
traded in December in tbe range
$1.86 to $1.96 against the dollar.

The underlying fail, after
allowing for public sector
foreign debt transactions, came
to $96m. This took the overall
underlying fall since sterling
started to weaken in June to
nearly $I.6bn.

This change does not simply
reflect intervention as it is the
product of a series of trans-
actions which the Bank' makes
for the Government and other
customers.

Nonetheless, it gives a broad
picture of the amount the Bank
spent to smooth sterling's
decline during its weak phase in
the second half of last year. The

amount spent is only small com;
pared, with previous periods oi
intervention.

The reserves were also re-
duced last month by a normal
end-year repayment of SI 2 5m.
on long-term loans to fhe U.S.
and Canadian governments.

Other official debt operations
added to the reserves as public
sector borrowing under the
exchange cover ’ scheme
amounted to $121m against re-
payments of only $13m.

The two state institution?
carrying out borrowing la?.*
month • were British Telecom
<$59m> and the National Water
Council <$62ra). both through
loans from EEC institutions.

The Treasury maintains that
recent small accruals to the re-
serves through public borrowing
abroad represents no change in
the Government's general policy
of reducing recourse ot foreign
Joans,

. But it is clear that the toodi
for further reductions is only
small.

Outstanding debt fell last
year by almost S4bn from .
SlS.lbn at end-1980. So the fall
in overall reserves last year —
from $27.48bn in December
1980— .was almost totally due t?
a reduction in Britain’s overseas
liabilities.

Decision likely today on
Gill payment challenge

BY JOHN MOORE

THE NATIONAL Association of
Pension Funds is expected to
announce today whether a High
Court challenge is lo be made
by pension fund investors of
Associated Communications Cor-
j poration to a record compensa-
tion payment of over £700,000 to
I Mr Jack Gill, the former man-
aging-director.

A legal opinion has- been
sought by the pension funds,
who collectively hold around R
per cent of the non-voting *A*
shares of Associated. The funds
are likely to take action in the
courts in an effort to "block the
payment to Mr Gill if .they are
advised that they have a good
chance of success. u_; " "

Mr Gill's solicitor. Sir David
Napley said yesterday, that Ms
client would not be attending
the extraordinary general . meet.- .
log on Friday at Assoddted's
headquarters.

Sir David Napfey wtlil attend
with a proxy from Mr Gill and
authority to use his, voting
shares— amounting to >a 15 per
cent stake — in support of the
compensation payment-.

Lord Grade, cliainnan .of the
Associated entertdmnents' con-
glomerate who holds 27.6 per

cent of the voting shares,' bas
told shareholders already tha*
.directors holding 45.3 per ceqj
of the tightly held voting shares
have pledged their support for
a resolution granting Mr Gil
a £560,000 payment
.. Sir David Napley said yester-
day that whether Mr .Gill “uses -
his own shares to support the
resolution “will have be a
matter X will decide at the meet- -
ing. My tentative view is he .
wiB not use his shares.' Hope- /-
fully,' that' will not v be ”
necessary;" -

Sir David Napley explained-'
that the terms on which Mr GUI - j
would leave ■ Associated, were..-:
agreed on. writing. Under the: ;
Companies Act, approval of the ?j
.terms was. required at -air extra- ;
ordinary general meeting. Mr
Gift had been prepared to leave
■only if those with votes agreed ■
to use them to .support the ....
agreement.. Sir David. was confi* .
dent of a majority;

Lord Matthews, an Associated . ..
director/, is.;,. ttcpected- tD use .
shares he .owns • or influences, 'c
about 9 per cent, to vote against
the compensation at Fridays-’
meeting. Sir . Leo Fliotzky.
another director, has described . K
the payment as " Unsavoury." ~

inquiry

BY jOHN MDORE

AN LNTERNAL Stock Exchange
inquiry bag been completed into
ihe affairs of ‘.Haltiday- Simp-
son. the Manchester- Stockbrok-
ing firm suspended from deal-
ings in Ju1y, ; - A report; more
than 100 .pageslong, -Was studied
by the Stock '-Exchange council

yesterday. . /

The report describes dealings
carried out by- Holliday -ovef a
number . of yearsj and Has
examined whether there have
been any breaches.. . in . Stock-
Exchange rules, v

The council was rtudying the

report and its reco mnie ndatibns

to see whether further proceed-
ings were necessary under the
Stock Exchange’s . disciplinary
arrangements. ■ Depending on
. the outcome of the meeting, the
. matter could then be passed ut-
_the discipilinary-. committee.

: The- Stodk^ -Exchange' I s n0 *
expected to make .the report’s
conclusions public • • until
disciplinary proceedings, have
been tmmp.leietL The EriiaoSB

bas so- .appeal procedure in ib»,
self-rcgulatbry mechanism, so
.It 'possible any. further ..state''
meht wlll-ttot be made-uhtil all.,
pf any hearings '-'are : complete.;/
This may not be until-May; : ->

■***•*»- .

hle$

'“sent

. ^ . i*-. " z •■■■ '-. \1

•., ; . w : . r?®? 1 ®? Wednesday January . 6 1&82

LABOUR

Water staff

..MQHE>..THAN - five; hundred

. .offered ftnaniclat^Bd®^-
mmtfi hi leave the Kwal Navy
to what toe; r M©s^ ■ of
Defence calls tbc**flrst phase*
of a‘ redniHUscy^$Msrasto^e
designed to redocefhe.NavyV

dv&BAiU Lk. ^ ’- ^ -- - • a rutA o'

10,000 by V'--. ::•>

The rednndamdeB,- anw Q K
c !i ® l*g defence

revfgw, are»beVflhmtary at
first, bnt eempal^ny retire-
ment may be , introduced If

annual volunteer targets are
^ not met. : J - .

r , Details of the redundancy
terms were omdated to the
.. Fleet last month. Those who
' Jeave will get a tax free lump
. stun of up to 18 rfumiftfii pay; .
-.as well as the terminal grant, .
.based on seniority and length
• of service, which personnel
/ The average-, payment to
departing officers is likely to
be £30.000 and to. scarier rat-
ings £14,000, tax-free and

exclusive of pension.

A captain with three years
seniority wifi get £47.925 and
a £7,000 index-linked pension,
- while a petty officer with 12
years service would get just
under £22,800 and a £1,400
pension.

The MoD argues that until
it is known how many service-
men will leave through the
preferred method of * natural
wastage ” it is not possible to
calculate the total cost of
reducing the size of the Navy.

reject 9.1%
offer in
local ballot

Pit strike could cut jobs, warns Ezra

BY JOHN LLOYD, LABOUR CORRESPONDENT

By Philip Bassett. Labour Staff

will be sold as scrap
are' found soon

' fY MH^T ; ttC^.»ENCE CORRESPONDENT -

THE ROYAL ; NAV^r must The Rnral Naw’s fleet

dispose of - -20 -destroyers and **5”

frigates in the next two years DlUSt DC OT by 20 in the

buvTO^far bweK have been next titt) years. Only
^ on* three tl ^V fa V^lleea Sold,

■•' The- Gfrijean-Navy is ta buy - BIOOIII reports. .

HMS Norfolk, a Gonnty class — — ■ r-r ' -< . r . ■ ■

frigate, and two Leander class
frigates, Dido and .Bacchante,

commando carrier, a county
class , destroger -and three fri-

___ l-.-„ , , - _ v . ojju uu«c in-

are being sqW -tp. New Zealand.. ^ were withdrawn last year.
Unless huyecs;cao be! found So, top, were a coastal mme-

f or. the remaining 17: stops - soon
they will be soW for scrap.

The.- - same . fate probably
awaits the ■ amphibious assault
ship Intrepid,, which is due far
disposal this year. Its sister ship
Fearless is destined to go out of
service in l9S4. •

The Navy’s instructions

to

sweeper and' three fast target
boats;: .....

. - In the coming year. Intrepid
.wffl- go, as will one destroyer,
three frigates, two coastal mine-
sweepers. a coastal patrol craft
and Porpoise, the only sub-
marine in its, class in the Navy.

.Due for disposal next year is

sell, mothball or otherwise '."HMS Endurance, Britain’s only
dispose" of key ships in its fleet adapted for work in the
was given, emphasis in Jast Antarctic. Suggestions that the
June’s Defence Review. - 3,600-tori ship will be sold to

. Mr -John Nott. the Defence Brazil* which has shown.interast
Secretary, said the Navy’s force V& it, .have aroused controversy
of frigates-and destroyed would a™ 0 ®® some Tory MPs and
be reduced- from 59 to 50 by -peers who say the sale would
198485, - weaken Britain's position in the

These figures; however, gave Falkland Islands and Antaro-
oidy 'a ' partial pfeture' of the t«*' * ‘
intended reduction in fleet size. . -Projected . withdrawals from
In 1980 alone, one helicopter service next ; year ropiude the
cruiser and seven frigates, as carrier Hermes, one frigate, a

well ;-as two inshore mine-
sweepers arid a .fast attack craft,
were taken. -out of service.

According. to r . information
given . recently to Parliament,
24 ship* wiH beV withdrawn
between how and 1983.

One anti-submarine warfare

coastal minesweeper, a coastal
^atroi craft . and HMS London-

ierry, die Navy’s trials ship. ,

'* Most controversial is probably
toe decision to sell one of the
three new aircraft carriers.
HMS . Invincible is likely to be
sold to Australia, leaving toe

Royal Navy late next year. On
present plans. Ark Royal,
launched by the Queen Mother
is June, and Illustrious, which
is being completed, will remain.

It is suggested Australia is
being, offered Invincible for
£1 75m— what the ship cost to
build in the 1970s.

Its M follow-on ” sister ships
will cost £2 00m and' £220m
respectively.

Cost is the main reason why
toe size of the fleet is diminish-
ing. The cuts are affecting
warahip building, which experts
believe is approaching lowest-
ever levels.

In toe next four years three
SSN submarines, three Type 22
and -six Type 42 frigates are
due to be delivered. There are
seven coastal minesweepers/
hunters on order. No new
orders for warships are on the
horizon, however.

Mr Nott put the Navy’s
declining fleet — and rising
defence spending — in historical
perspective in a recent speech
to toe International Institute
for Strategic Studies.

“In 1950 toe Navy had 12
aircraft carriers and commando
ships. 111 destroyers, 165
frigates and 62 submarines. In
1980 the figures were three
carriers, no cruisers, 12
destroyers, 54 frigates' and 28
submarines.”

Five years ago. Mr Nott said,
about 31 per cent of toe defence
budget went on equipment,
against 44 per cent today.

WATER WORKERS in Wales
and the West Country belnnerng
to Ihe National Union of Public
Employees, the industry’s
second-largest union. have
rejected Ihe water authorities*
9.1 per cent pay offer and called
for industrial action.

South-western delegates,
meeting In Salisbury, recorded
a rejection of the offer by about
950 votes to 550-
Mr Garry Cooper, Nupe
south-western divisional officer,
forecast that the outcome of
voting in all 11 Nupe regions
would be io reject the offer and
call for “pretty immediate”
industrial artion.

About half the 3,(100 Nupe
water industry members in
Wales also voted to reject the
offer — though by the clearer
majority of roughly 5-1. Only
one of the seven branches in-
volved, West Wales, voted to
accept the offer, and then only
by a narrow majority.

Nupe’s water national com-
mittee will meet tomorrow to
collate the votes of its areas,
and the Wales area at least will
press the committee for
national co-oTdmated industrial
action.

Balloting on the offer in the
largest union in the industry,
the Genera] and Municipal
Workers’, is due to end today.

Voting has so far been
unclear, and toe union con-
tacted all its regions yesterday
to try to ensure their returns,
thiught to have been delayed by
the Christmas and New Year
holiday, would he in by today.

The offer would take the
basic rate for the lowest glides
from £71.70 to £78.20. and for
the highest from £78.70 to
£85.85.

MINERS were yesterday warned
they may face unemployment if
they vote for strike action in
the national ballot next week.

Sir Derek Ezra, chairman of
the National Coal Board, said
during a visit to Swansea that a
strike vote could force the NCB
“to make further cuts in our
investment programme, damag-
ing future job prospects.”

Sir Derek emphasised that
this effect would be *• disastrous"
in a period of recession, when
unemployment was still rising,
especially in areas like South
Wales.

However, he did not repeat
that the board’s offer-— worth
between 9 and 10.5 per cent
with the inclusion of a service
bonus — was fin3l. The board is
thought certain to agree to fur-
ther meetings between the two
sides should toe vote favour a
strike.

The board has continued to
stress, however, that it cannot
afford to increase the offer, and
will not raise fuel prices to
fund a higher settlement This
places the onus on the Govern-
ment to relax the NCB cash
limits.

Board officials agree with the
analysis of the nrineworkers’
leaders that the Chancellor’s
mini-budget last month made a
strike vote much more likely.

The country’s 240.000 mine-
workers will vote next Thursday
and Friday, and their leaders
are urging a much higher vote
for strike action than the 55
per cent constitutionally
required.

Sir Derek said yesterday that
a strikp would imperil the pro-
gress made by the coal industry
in the past year. Productivity
and attendance had improved
substantially, allowing -the NCB

to hold price rises below infla-
tion and to Increase exports,
he said.

“ The Coal Bond’s offer, worth
on average the equivalent of
9.3 per cent on basic rates and
up to 10.5 per cent for men
with long service in toe
industry, bears comparison with
any made to any group of indus-
trial workers in the present pay
round.

* Furthermore, ft comes only
If) months after toe last in-
crease. whereas other industrial
workers have waited a full year
for their rises. And it is toe
-miners' third increase in 20
months..

“ The offer we have made has
been put together in such a way
that the industry can achieve
three objectives: to .continue to
pay good wages; to give US the
chance to hold on to present
markets -and to pick up new

business; and to allow us to
go on -investing in Ae future
of our industry."

Delegates representing toe

26.000 South Wales miners
voted unanimously to recom-
mend rejection of the NCB's
offer. A series of pithead meet-
ings will be held in the area
over toe next week.

Philip Bassett writes; Miners*
pay will overshadow the nego-
tiations opening tomorrow for

90.000 -manual workers in toe
electricity supply industry.
Power workers' union leaders
are expected to have the
miners' offer in mind when they
table their claim for a substan-
tial increase in pay and a reduc-
tion in their present 37-hour

week.

The employer's side is Hkely
to withhold any reply until the
next meeting with toe unions,
set for February 4.

Bank union to propose 15% pay claim

BY BRIAN GROOM, LABOUR STAFF

THE Banking. Insurance and
Finance Union <Bifu) yester-
day decided to submit a 15 per
cent! pay claim in the poHtically-
sensitive national negotiations
for clerical staff in the English
clearing banks.

Bifu and its non TUG affiliated
rival, the Clearing Bank Union
(CBU) will present separate
daims formally to toe Federa-
tion of London Clearing Bank
Employers tomorrow. The CBU
will set a figure in toe morndng.

The talks cover clerical
grades .one to four and the
minimum managerial salary.
Bifu represents some 70,000
managers and clerks in
Barclays. National Westminster,
Lloyds, Midland, and WiFtioms
and Glyn’s— or roughly a third

of toe staff. The settlement
date is April 1.

The unions are aware that
they face difficult negotiations.
The bank chairmen will also
meet tomorrow, and are likely
ment. The federated
menL The federation will
respond to the claim on January
28.

Last year, the banks settled
at 10 per cent after aiming at
sinsle figures. However, they
will draw strength from haring
settled a couple of points below
the inflation rate despite a cam-
paign of industrial action by
Bifu. which has left the union’s
relations with the federation in
a poor state.

Although there has been no
repeat of l2St year’s exhorta-
tions from the Prime Minister

and the CBI, toe banks would
be loth to damage their image
-with industrial customers by
paying increases substantially
higher than those elsewhere in
the private sector. The banks
will also want to keep a tight
hold on their own staff costs.

Bifu’s claim contains a low
pay element which would raise
the minimum for a grade one
clerk at the age of 21 from
£3.238 to £4.160. or £80 a week.
Other rates would have to be
tapered accordingly. This means
that the cost of the claim to
employers, if paid in full, would
be more than toe general 15 per
cent claim.

grounds nf toe cost of living
and toe banks’ ability to pay.

He expected November’s 12
per cent yearly rate of retail
price inflation to rise further.
He also dTew attention to the
15.6 per cent rate of increase
in the tax and price index.

Barclays. NatWest Lloyds
and William and Glyn's had
together made ball-year profits
of £765ra, Mr Mills said. He
expected their full-year profits
to total more than flJfon.

Mr Leif Mills, Bifu’s general
secretary, yesterday defended
the union’s claim on the

The minim urn for a grade
two clerical worker is £3,255
at age 18, rising to a standard
maximum of £4.872. The grade
three range is £4,604-£6.006,
and grade four £5.449-£6.936.
The 'minimum managerial salary
is £10,287.

Dispute hits
ferries at
Newhaven

Keri Livingstone

criticised; over
U.S. fire tour

By ho Oawnay, Labour Staff

lot; Km v tjljvingstone,
- Greater London-- Cbtmcfl leader;
waj . criticised ; ‘r yesterday- jfdir
wasting -thousands of- pounds of
ratepayers’ ’ money on a . US;
tour to .find ways of recruiting
more blade people into the Lon-
don Fire Brigade. . :

The three-week tour oif Coun-
cillor Simon Turney, Mr Ronald
BuHera, the ^ brigade's - chief
officer . and two', other;; brigade
officiate yfiM.co&t£IJ50,3. head.
Mr Turney is chairman of the
' GLCTs Pitolic Semces. .and' Fire
Brigades Conemittee. ...

Mr .Livingstone said: "There
is a lot we can learn from toe;
experience in America. The fixe
brigade was one of ‘ toe last
areas of -the pribllC services, to.
hie integrated- in the U.S. -

“When - Labour gained power
last year," only 10 of the bri-
gade’s • 7,000 .- men • were

coloured.” .

Mr Peter Black, a Conserva-
tive councillor, said: “This; is an-'
.incredible: waste of .money.,
They are swanninrg -off across.
, the TJ.S. to find out information-
they could get just around the
corner.** ‘ . "* V

Police Federation chief

may be urged to stay

BYjBllEJSIDAN KEENAN IN BELFA5T

MR' ALANF; WRIGHT, chairman
Of the Nbrtoem Ireland Police
Federation^ may be urged . to
reconsider his decision to resign.
The .membership, may be con-
sulted on toe.iasue'o r - 1
Tt - is’ now clear that Mr
Wrighfs main differences are
hot with Sir John Hermon, toe
chief constable, but .with, some
members, of his . own central
committee. •

Mr .' Wright refused to
elaborate on ;his resignation
statement, saying he is now an
ordinary constable. He' said he
had the utmost personal respect
and -professional regard for Sir
-John,/ v ..

■j M l cannot permit his name
and office -to be sullied by
■people , ytoo, do not have the
interests .of toe KUC at heart.”
.Mr Wright said.

;,'One;..;. unionist -MP has
suggested that .Mr James Prior,
toe;. Secretary of State; should
toterverie and work out a settle-
ment. Mr Harold JfcCusker
(Armagh) said- toe situation
was disastrous ;'••••

Although the central com-
mittee of the Federation said it
was appalled that the minutes
of its November meeting had
fallen into the hands of the
Rev -Ian Paisley, two members
■of the committee are believed
to have voted against a motion
condemning political interfer-
ence in R.UC affairs. This, it
seems, is what prompted Mr
Wright to resign. .

His main aim has been to
keep the Federation out of
politics,' even during difficult
periods like the hunger strike.
. He shares toe Chief Constable's
objective of trying to make the
RUC acceptable to both com-
munities.

The controversy has already
caused damage because various
Republican spokesmen have
cited the row as .evidence that
the RUC has been infiltrated by
Mr Paisley’s supporters.

There are those, however, who
believe that if a majority of
rank and file members were to
ask Mr Wright to reconsider, the
end result would be to
strengthen Sir John's position

Salem insurers to challenge ruling

THE OCCUPATION of Sealink
UK’s Newhaven-Dieppe ferry,
the Serriac, continued yesterday
baiting all passenger and
vehicle ferry services between
the two ports.

More than 50 seamen began
a sit-in on the 5,590 ton ship
on Monday 7VZM after the com-
pany announced that continuing
losses exceeding £1 this year
will force it to close the service
! with more than 200 redund-
ancies at the end of this month.

Crewmen want the decision
to close the service postponed
, to allow further recotiwtions to
take place with Sealink’s French
partners, SNCF.

However, the companv said
last night that it was unable
to persuade SNCF, whirh owns
two-thirds of the service, to
make arrv hip alterations

Industrial action is also
threatened at Harwich where
Sealink is in talks with the sea-
men's unions over prooosels_ to
withdraw two ferries ooerating
, on the Hook of Holland and
Zeebrugge routes making 165
crewmen and 48 officers -re-
dundant.

The company wants to replace
j the 3.294ton Es«fex and tihe-3.004
ton Norfolk with a single alter-
native vessel. ■

The National Union of Sea-
, men said it was concerned and
would do its best to save all the
. threatened jobs. No deadline
has been set for tihe withdrawal
of the vessels and talks are due
to resume Monday.

BY RAYMOND HUGHES, UVW COURTS cbRRESPONDENT

THE . SAGA of . the Salem, the
tanker scuttled off the West
African coast afipr .secretly dis-
charging its cargo in South
Africa',' will return to toe courts
when "the new Jaw: term begins
on January ; li- v‘ ; -

The insurers.- of: the cargo
wttl. challenge in. toe Court of
Appeal a Commercial .Court
ruling last April to at the- 196,231

tonnes pf ' crude oil had been
lost es\ar' result of a peril
. against ;wWcfi, its owners. Shell
Petroleum.:^ International, had
■ been insuredi ,

Lloyd's Lunderwriters had
argued that the lass bad resulted
.from a fraud not covered by the
insurance^ -

The appeaJ. is- being expedited
because of to£~i*oildwide lmp&-

cations, of the case. It is Felt
that, until there has been a final
ruling by toe courts, uncer-
tainty will persist about the
liabilities faced by marine
underwriters .

The final ruling-will be made
by the House -of Lords, to which
the case wil go whatever the
oatco-me of toe appeal court
hearing.

Cowley men
face ‘tea
break’ cut

Militants embarrass rail union

THE NEW executive committee
of British Rail’s largest union,
the National Union of Railway-
men, meets for the first time
today and is faced with indus-
trial disruption by the train
drivers' union. Aslef, and an
embarrassing internal political
wrangle.

The 26 NUR executive mem-
bers are elected for a three-
year period, and the August
elections brought 10 new mem-
bers. The executive, however,
will not have to respond imme-
diately to either issue.

Closer to home is the re-adring
■this week of toe union’s diffi-
culties -wito NUR supporters of
-the Labour Party's Militant
Tendency. Which firdt emerged
at the union's annual general
meeting last summer ad. St
Andrews in Scotland.

In fbe NUR, Militant has a
formidable opponent in Mr Sid
Weigh ell. toe general secretary,
who ■ended last year’s political
report with a sharp attack on
MtlkaTFf supporters and their
“ determination to convert the
Labour Party into a BdWhevik-
style organisation paving toe
way to physical confrontation on
toe streets **.

Mr WeigheH’s opposition has
been evidenced externally by re-
peatedly raising within the
Labour Party the question of
the re-introduction of toe list
of proscribed organisations, and
mtertwliy by (taking action
against Militant supporters for
toe distribution of unofficial
literature.

NUR left-wingers — some of
them not Militant supporters —
who have borne toe brunt of the
inquiry set up to inveriigafe
branch complaints about toe
circulation of such literature
have complained of a “vendetta”
against fhem.

The inquiry — a sub-comrarWee
of the union's executive — pro-
duced a report on the alleged
infiltration of Militant into the

union. Which was eventually
rejected 17 to 7 by the executive.

Many executive members
would like to see the issue
-quietly dropped, and some be-
lieve Mr Weigbell’s pursuit of
Militant supporters has gone
too far.

However, ft is unlikely that
the issue will just go away. This
is because Militant tends to be

members to the inquiry makes
such action unlikely.

The inquiry was set in motion
after Md Weighell issued a con-
fidential circular last year call-
ing for further information on
literature seeking to influence
NUR policy' which was “ entirely
unauthorised.”

TUC action
awaited on
Aslef ban

By Philip Bassett and
Lynton McLain

Philip Bassett looks
at the way the
NUR leadership
is facing two
vital issues

relentless in its efforts to in-
fluence policy, and because of
the publicity given to the issue.
It seems unlikely that branches
will fail to raise the- executive’s
handling of the issue at this
year’s annual meeting

It is also thought likely that
Militant supporters may try at
the conference to put into prac-
tice the programme for changes
in the union. NUR rules say
the annual meeting can change
the rules only once very three
years — and it -is thought sig-
nificant in the union that Mili-
tant opened its campaign last
year in time for the 1982 rules
revision year.

Disciplinary action against
five NUR members, mentioned
in the inquiry’s report, for the
circulation of liierature is
notional — a £5 fine, though
it is likely that a rule change
at this year's conference will
increase that to £10. “ Persis-
tent " breach of rule 10 section
10 on the circulation of litera-
ture. leaves the member open
to expulsion, but the placatory
response of the five named

Mr Weighell was particularly
annoyed at Militant staging a
public meeting at the con-
ference in a St Andrews’ hotel,
even though it was poorly
attended, and at the distribu-
tion at' the conference of a Mili-
tant pamphlet on the union: A
Fighting Programme for the
NUR.

This and other Militant
literature calls for radical
changes in the structure of the
union, which it says “ needs
democratising in several impor-
tant areas to make it more
accountable to the membership."
It suggests the re-election of all
full-time officials every three or
five years “with the provision
that the members may recall
and replace where necessary
those officials who become out
of touch with the shop floor.’’
Officials should receive only the
average Industrial wage plus
necessary expenses.

Militant calls for a rejection
nf BR’s corporate plan, no job
losses, a rejection of incomes
policy, an £80 minimum wage, an
immediate 35-hour week and a
rejection of all productivity
deals.

The elections for the new
executive have reduced the
influence of the left in the NUR,
and have probably robbpd it of
the majority it was able to
command.

The executive will probably
be more ready than the old
one to support Mr Weighell —
and the intractability of Militant
may well mean his efforts
against its supporters will need
all possible executive support.

BRITISH RAIL and leaders ol
Aslef. the train drivers' union,
are' awaiting formal TUC inter-
vention in their pay and produc-
tivity dispute following informal
soundings made by Mr Len
Murray, TUC general secretary.

Mr Murray maintained con-
tact with both sides yesterday
after a late-night meeting with
Sir Peter Parker, BR chairman*
and Mr Cliff Rose, BK board
member for industrial relations.
• He was careful mainly to in-
form himself fully of toe
present position. TUC officials
said he had not put forward
any proposals for resolving the
dispute. This centres on BR’s
refusal to pay train drivers the
second 3 per rent stage of this
year’s 11 per cent deal because
of poor progress on
productivity.

Southern Region suffered
most from the Aslef ban on
overtime and rest-day working,
with 39 morning services can-
celled yesterday and at least 14
in the evening.

Eastern Region services were
disrupted by a separate dispute
involving Aslef drivers in
Edinburgh. This caused a
number of cancellations and
forced two-thirds of -normal
Inter-city services to Edinburgh
to halt at Newcastle.

BR said yesterday it lost an
estimated £60m last year com-
pared with' a loss of £76.9m In
1980. It comes after govern-
ment grants totalling £754.?m
for 1981.

The grant was raised by
£1 10.4m to compensate for the
recession’s effects on BR pas-
senger revenue. Without the in-
crease. BR expected to end this
year with a deficit of £140ra.

Financial Tinw* Reporter

CONTRACTS

£7m home defence order for Pye

pye Telecommunications has
cm a '- Ministry of ' Defence
in tract, valued at'- £7cn, tO;-up-
ade toe UK's; home defence
imTTmnieatKHJs system. ......

WASHINGTON, D.C.

A Renaissance of

Afexnryhoid£rffie?rBafe '
SjropeAn tradition. Elegant^

qgaflted — geWaconwoffoP-

THE MADISON

*■ M ! fjron,rt C t Ottg

- -TWex6C24S- J ,

Military communications in the
UK have depended cn telephones
and telegraph circuits /anted
-from British Telecom; which has
meant toe nation has. relied pn a
system designed for A peacetime
wnunand-striictroe. _

Codenaraed Mou3S«: toe. new
project will provide mobile,
angle channel, iU-infocmed,
radio command :-apd . control
systems for each : of the home
defence regions. T%e, com-
mander of each region wiR be
able to talk direcSy fo fhe f orees
under his com m a nd . from = his
headquarters, irrespective of
whether those forces ’are still in
[' their barracks or deployed to
operational areas. -.

-The communications' System -is
Similar to that used,; Iff.; local
authorities, police -■ and - fire
services. ■

The user will have radio equip-
meat which can .be osed as a
desk-fop, a mo* 1 *! ® * PWtaMe
station.' Installation has begun
and the first home defence,
region, which covers London, has
been completed- Otoer regions
will be handed over throughout

1982 and 1953- ■

★

Work baa commenced on four
contracts totalling over

awarded to -toe Plymouth-based
firm, CARKEEK BUILDING
CONTRACTORS. The largest
word) £874.000. is toe new
Magistrates Courts complex at
Bodmin, Cornwall. The other
contracts include a £478,000 post
graduate centre at the Royal
Cornwall Hospital (Treliske)
Truro: a £460,000 development at
Whitleigh, Plymouth, of flats and
bungalows for Devon. and Corn-
wall Housing Association, and 18
dweJMngs for. Torbay Borough
Council. '

- AB CRANES, Telford, Shrop-
shire, has won fts first Ministry
of Defence contract — an order
for 6 tonnes electric level lnffing
travelling dockside jib crane.
This is to be supplied to the
naval base, Portland, for general
dockside service work and has
special microprocessor control on
the hoist, slew and luff motions.
The crane was also designed to
cope with the stronger than usual
wind forces .experienced in the
area: This is the first of a hew
range of Jib cranes being intro-
duced by AB Cranes, available
from 3 tonnes upwards.

COWLEY is facing a version
of the “ tea break ** row which
cost BL £10flm at I/onghridra.

Austin Morris. lias given the
nnion at the assembly plant
five days’ notice of its inten-
tion to reduce relief times by
10 minutes each day.

Shop stewards there who
have already decided, to rejwt
the changes are to meet today
to. decide their tactics,

Mr Bobby Fryer, senior
shop steward for the Trans-
port and General Workers’
Union, refused to comment
on the form of resistance.

But be hinted that it wotald
not he a strike. Unlike Long-
bridge, Austin Morris is not
seeking any tightening of
work standards.

The unions feel, however,
that they have already con-
tributed to increased effi-
ciency by helping BL to
achieve a 30 per cent im-
provement in productivity in
its car factories.

The Cowley proposals also
means that nearly 70 people
who work as relief men will
move to otoer jobs. -

Gibraltar trip

SENIOR OFFICIALS nf the
Transport and Genera] Workers*
Union will fly to Gibraltar on
Friday to report that the UK
Government has not yet re-
sponded to a request for meet-
ings with a delegation of
colony’s unions on plans to close
the naval dockyards there.

This announcement appears as a matter of record only November 1981

TECMNJP

COMPAGNIE FRANCAISE D’ETUDES
ET DE CONSTRUCTION
“TECHNiP”

K.D. 5 , 500,000

Short Term Credit Facilitiy

Provided by

The National Bank of Kuwait S. A.K The Industrial Bank of Kuwait K.S.C

Agent

The National Bank of Kuwait SAJL

V .

Financial nuxw •«

FT COMMERCIAL LAW REPORTS

Digest of cases reported in Michaelmas Term

1 FROM NOVEMBER 27 TO DECEMBER 33 1981

AstiUeros Can arias 5A v Cape
Hatteras Shipping Company Inc.
(FT. November 27)

When the Cape Hatteras
damaged its crankshaft and put
into repair at Las Palmas, the
repairers took approximately
three months longer to complete
than' was anticipated by their
contract winch specified that for
every day beyond the agreed
time, the repairers would have
to pay a sum to the ship*
owners. However, Mr Justice
Stoughton held that as the ship*
■owners were In part responsible
for the delay, they could not
claim liquidated damages.

The Tesaba (FT, December 1)

The salvors of the Tesaba
aHeged that after they had
rescued the ship and ite cargo
off the coast of Salqnica, the
shipowners failed to abide by the
terms of the salvage agreement.
They sought the arrest oF the
ship, but Mr Justice Sheen
refused to extend the jurisdic-
tion of the Admiralty Court to
them. Tbe claim, he said, was
one for damages for breach of an
agreement that arose after the
salvage operation was completed.
Furthermore, any claim to the
cargo was one of lien only, and
the dispute had not resulted from
a •' carriage of goods by sea
under section 1(1) of the
Administration oE Justice Act
1956. „ ,

Ke gina v National Dock
Labour Board, Ex parte British
Transport Docks Board (FT,
December 2) .

In a labour dispute, a national
board that administered an
employment scheme in Britain's
docks, decided that tbe British
Transport Docks Board, an
employer of dockworkers, had
wrongly dismissed its men. The
employer’s argument when put
before the board, was based on
one particular point, but the
board reached its decision by
way of a different point On
a motion by the employer to set
aside the National Board's deri-
sion. Mr Justice Forbes held that
as an administrative body it had
a duty to act fairly, hut was
under no obligation to hear the
employer's argument on a point
which was not in .its mind when
it originally put its views
forward.

International Rea Tankers Inc
of Liberia v Hemisphere Ship-
ping Co. Ltd. of Bong Kong (FT,
December 4).

Tbe guidelines laid down in
the Tietna for granting leave to
appeal against -arbitral awards
were put to the test. The “one-
off” event in this case was the
Gulf War. while the problem of
its general applicability was
clear more than 60 ships were
trapped by the outbreak of fight-
ing. An incontrovertible date on
which their charter parties could
be regarded as frustrated was of
crucial importance. In the
interests nf legal certainty. Lord

Denning Mid* leave t0 .*PP ea J
from the arbitration award
should be granted so that an
authoritative derision might be
riven as to the frustration date,
binding on all arbitrators dealing
with the same event
Inland Revenue Commissioners v
Burma* Oil (FT, December 8)

The Law Lords, reconfirmed
that the attitude of .the courts
towards tax avoidance schemes
had undergone a marked change.
The kind of scheme to which
they were referring was one in
which a mastermind manipulated
a series of transactions between
wholly artificial, mindless en-
tities. Where these transactions
fulfilled statutory reauirements
but served no real commercial
purpnse. the courts would now
look solely at the end result The
business community and their
advisers. Lord S carman warned,
would do well to take note of the
changed judicial approach.

Moore v Du port Furniture Pro-
ducts Ltd and Others (FT, Dec-
ember 9)

The House of Lords held that
an ACA5 officer had fulfilled his
duty under the Employment Acts
to promote a settlement by taking
action "applicable to the circum*
stances of the particular case."
He came to a meeting between
the employers and Mr Moore who
had just resigned at their hehest.
Mr Mnnre wrnt.e nut a letter of
resignation while the nfficer made
nut a form in “full and and final
settlement nf all rlaims.” Mr
Mnnre in signing this, excluded
his right to romniain to an indus-
trial trihunai. and the officer, in
ey plaining its effect, bad done
what was required to “promote a
settlement.”

In Re Stewarts (Britton) Ltd
(FT. December 11)

The commonly held view that
only a minority shareholder can
claim relief from “ oppressive
conduct” under section 210 nf
the Companies Act 1948 was dis-
pelled by Mr Justice Viueloti.
In this case the two co-directors
owned exactly the same number
of shares. None the less, tbe
one director could be regarded
as having had a dominant nosi-
tion, and he used that position
to channel work and materials
into a new company that he had
set up. His co-director was
entitled tn petition for a sale nf
the shares, the judge held, with-
out having tn resort to winding-
up proceedings.

Roberts Petroleum Ltd v
Bernard Kenny Ltd (FT,
December 15)

The Court of Appeal reviewed
a conflict between two well-
established principles of law.
namely fl) that a judgment
creditor is entitled to enforce
his debt: and (2) that un-
secured creditors ought genei^
ally to be treated equally and
to receive the same proportion-
ate share of the funds. The

court held that where a debtor
Is irretrievably insolvent and a
charging order nisi is obtained
against his property by
creditor, against whom no alle-
gation of trickery Is made, then
the order should generally p*
made absolute unless the main
body of creditors have already
set up a viable scheme of
arrangement.

Laertis Shipping Corporation v
Exportadora Espanola de Cemen-
tos Portland SA (FT, December

16) , . .

A phrase in a contract, provid-
ing for arbitration “in the
customary manner." was con-
sidered by Mr Justice Bingham,
who held that a court ought not
to import legal nations of
custom into its meaning. It was
intended to refer to the way
things were usually dona The
evidence showed that the most
usual way was for each party to
appoint an arbitrator, and for
those arbitrators to appoint an

umpire.

Marina Shipping Ltd v Laughton
and Another (FT, December W)

A blacking action bv officials
nf the International Transport
Workers Federation against a
Maltese ship was declared un-
lawful in the Court of Appeal.
The court held that for such
secondary action to he lawful
under the Employment Act 1980.
a contract would have tn exist
between the shipowners and the
port authority supplying the
services. No such contract had

been entered Into by the owners,
or by the ship's master on their
behalf. . „

Z Ltd v A-Z and Another
(FT, December 22)

The Court of Appeal issued
guidelines for banks and other
innocent third parties as to their
position when served with
notice of a “Kareva" injunction
requiring them to “freeze" a
defendant's assets within their
control. The court also held that
the purpose of a Mareva injunc-
tion was not only to prevent a
party to proceedings from
removing assets from the juris-
diction. hut also to prevent him
from dissipating assets within
thejurisdirijon.

New Zealand Government Pro-
perty Cerp v HM and S Ltd (FT,
December 23)

A business tenant who
remained in possession of leased
premises as a tenant after his
original lease expired or was
surrendered did not lose his
riaht to remove tenant's fixtures
.when, he eventually moved out
The Court of Anpeal said that
that was the correct rule, and
contrary statements in textbooks
were wrone. Tenant's fixtures
were therefore not to be taken
into account as part nf the
demised premises for the pur-
pose nf assessing the open
market rental value.

Thr taw ranorts w ill raenmipnne* for
the Hilary term an Friday, January 8.

By Aviva Golden

RACING

BY DOMINIC WIGAN

FEW HURDLERS are capable
of lasting more than 24 miles
in a truly run rare in testing
conditions. For this reason the
discerning backer could be in
for a profitable time, given a
resumption of racing this after-
noon.

At the only possible fixture.
To wees tor. it will probably he
safe to ignore all but those with
proven stamina in the two
divisions of the two-mile, five
furlong Longwater Novices
Hurdlp.

In the opening division at 1
pm, the. most appealing candi-
date is. surely. Late Night Extra.
A nood second in the mud
behind AHen Glazed in a
National Hunt fiat race at
Worcester last season. Late
Night Extra was running as well
as any in similar conditions at
the end of Newbury's ongoing
two-mile Speen Novices Hurdle
towards the end of November.

Not seen since then when he
finished fourth behind Lasko

Floko. Late Nicht Extra will
prove the one they all have to
beat over this far longer trip.

In the other division Sonny
Mav is sure to start favourite
and he, too, is unlikely to bp
found wanting on the score of
stamina. A proven stayer in
Ireland hefnre ioining Josh
Gifford's prolific Findrni estab-
lishment. Sonny May was Tur-
ning on in determined style at
the end of a 24-runner event
over two miles won by My
Ronnie Prince at Cheltenham in
the autumn. Sonny May should
lift this afternoon’s modest
prize without much fuss before
going on to better things.

Now that the novices chase,
the two-mile Wa tertian. has had
to he split, the “value bet"
from the two divisions looks
to be an ey-Frwich trained pros-
pect in Kalkashanndi.

TOWCESTER

12.30— Gerby

1.00— Late Night Extra-

1.30— Kalkasbanndi***

2.00 — Gay Invader

2.30— Supreme Vista

3.00— Aldo

3.30 — Sonny May*

BBC 1

10.55 am Songs of Praise from
Peterhead, Scotland, tlL30 King
of the Rocket Men. 11.40 The
Hardly Boys and Nancy Drew
Mysteries. 1JL30 pm News After
Noon. 1.00 Pebble Mill at One.

1.45 Postman Pat 2.00 “The
Intelligence MeD." starring Eric
Morecambe and Ernie Wise. 3.40
Play It Safe! 3.53 Regional News
for England (except London).

3.SS Play School. 4.20 Laurel and
Hardy. 425 Jackanory. 4.40
Take Hart 5.0 Newsround. 5.05
The Story of the Treasure
Seekere. 5.35 The Amazing
Adventures of Morph.

5.4Q News.

6.00 Regional News Magazines.

&25 Nationwide. .

- 6.50 Rolf Harris’ Cartoon Time
(London and South East
only).

7 JO The Wednesday Film:
“Hannibal Brooks." star-
ring Oliver Reed ana
Michael J- Pollard.

9.00 News.

9.25 Sportsnight: Tennis:

American Football from
Pasadena: Darts.

1030 Michael Parkinson and his
midweek guests.

1L28 News Headlines.

II JO Now Get Out of That

All IBA Regions as London
except at the following times:

ANGLIA

11.00 am ThundBrbircta. 11-50 Wattoc.
Wattoo. 1 » pm Anglia Nows. 5.15
Happy Davs. 6.00 About Anglia. 11.15
TUb London Programme— ' Voting Down
and Outs. 11.55 TEb Big Question.

BORDER

11.00 am Sesame Sttect. 1.20 pm
Border News. 5.15 Out of Town. 6.00
Loo ka round Wednesday. 11.15 Hear.
Hear 11.30 Border News Summary.

CENTRAL

11.00 am Something piBerenl. 11.15
The Story of Max and Mona. 1.20 pm
Central News. 5.15 DiHrcnt Strokes.

6.00 Crossroads. 6.25 Central News.
11.15 Nana Mouafcouri in Concert.

CHANNEL

1.20 pm Channel New--. What** On
WheiD and Weather. S.20 Crossroads.

6.00 Channel Raport. 8.30 Barley -3
Bird. 10.28 Channel Lata News. 11-15

TELEVISION

ChnVDunkley : Tonight’s Choice

w «*

an d dose, and BBC-1 does scarcely any better

Amenc * addoaH war movie (Hannibal Brooks), the

VSftSSyffi which looks just like rrv on Saturday
news, and bPorBmgn football and darts). Parkinson

^d^^epsatlTm^ifs choice is even more dearly than usual

BBC Thi< a 1 so opens with a repeat, hut one that is particularly
-wlile loev the 1974 “Horizon" programme which first
-0 Wi* public attention the story of Joey Deacon, the
man ^who° died last month after spending virtually his entire
Tin institution. He stayed 13 years in hospital before
meeting someone who conid understand Mm: ; motterpatient
meeuii* « _ , with the help of two others they

laboriously wsute out Joey's life story and later Brian Gibson
Smbined drama and documentary to make that story one of
tHp most moving programmes ever transmitted.

One Hundred Great Paintings moves on tothe new theme
of processions starting with a Canaletto from The Queen s col-
toctiSS ^kcondrf the Maestro series is devoted to Barry
S who remembers the great days of Welsh
a<ro \nd Dancing Girts follows the fortunes of Sponoocb,
a "'group which split off from Hot Gossip.

?

LONDON

life:

Show

BBC 2

10.20 am Gharbar.

1 1.00 Play School-

3.55 pm Landscapes of Britain.
4J20 Vikings!

4.30 Tigris.

■j-5.40 Undersea Kingdom.

6.no Life on Earth.

6.55 News Summary.

Barnav 1.65 Pans by Night.

12.10 am EpiloguB followed by News
and Weather is French.

GRAMPIAN

9.25 am rtrs: Thing. 11.00 Sesame
Street. 1.20 pm North News. 5.16
Private Benjamin. 6.00 North ToniBPt
and Arse Weather Forecast. 12J0 am
Nortn Headlines.

GRANADA

11.00 un Sesame Street 1.20 pm
Granada Report* 2-00 Live from Two.
515 Pr vate Benjamin. 6.00 Granada
Reoerts. 6.25 Thu Is Your Right. 11.20
In Concert: Ks* Kruwftereon and Anne
Murray.

HTV

11.00 em Sesame Street. 1.20 pm
HTV News. 5.10 Ask Oscar! 5.2D
Crossroads. 6.00 HTV New*. 5-30
Defimtcn. 10.28 HTV News. 11.15
Star Parade.

HTV Cymru /Wales — As HTV West
except 12.00-12.10 pm Ffalnbalam. 415
Y HhfiJHordd Gold. 4.45 Our Incredible
World. 5.10-5.20 Dick Tracy. 5.00 Y

7.M Joey. „ . _ .

8.15 One Hundred Great Paint-
ings.

8.25 Maestro.

9.00 M*A*S*H.

9.35 Dancing Girls.

10.15 Grapevine
10.45*1X35 Newsnight,

Dydd. 6.15-6 JO Report Wales.

SCOTTISH

11.00 am The Amazing Year* of
Cmema. 1125 land of Butte. «-»
Bubblies- 1.40 pm Scottish News Head-
lines and Road and Weather Report.
1J0 Farmhouse Kitchen. 5.15 Pet
Subject. 5.20 Crossroads. 6,00 Scot-
land Today. B-ZO Action Line. 6.30
W-sh You Were Here. 11-20 Late Call.
11.25 In Concert— Cher.

TSW

11.00 am Spread Your Wings. 11,30
Call It Macaroni. 11 56 Wattoo, Wattoo.
1.20 pm TSW News Headline*. 5.15
Gus Honeybun’s Magic Birtfrrfays. 5-20
Crossroads. 6.00 Today South West.
620 Scene South Week A Day in the
Life. 10 42 TSW Late News and
Weather. 11.15 Barney Miller. 11.45
Parts by N ghf. 12.10 am A Carol lor
Christmas. 12.15 am South. Weil
Weather end Shipping Forecast.

TVS

11.00 em Poo eve Cartoon. 11.10
Bailsy‘8 Bird. 11.35 Abbe Wards and

9 JO «m Schools Proj^Httmes.

11.00 “ Francesca Baby,** Waning

Carol Jones. 1150 Barney^oogJe
and Snuffy Smith. The

Munch Bunch. 12.10 am Rainbow.

12.30 Play H Again. LOO News,
plus jfT Index. 1.20 Thames
News with Robin Houston. L30
Take the High Road. M After
Noon Plus (THS) presented by
Man- Parkinson with Nay Avila.
2 45’ The K ilnsey Show (Film of
ihe Kilnsey Show that has been
held during the August Bank
Holiday even' year since ISO?).

3.45 About Britain, £15 Dangw-
■raouse. 4-20 Madabout .MS
Arthur of tbe Britons. 5JS Mr
Merlin.

5.45 News-

6.00 Thames News ^

(L25 Help! with Viv Taylor

Gee.

6.35 Crossroads,

7.00 This Is . *"ur

7.30 Coronation Street.

8.00 The Benny Hill
&00 -Best Seilers: 'Rock Hud-
son "and Brenda Vaccaro
in “The Star Maker,’* Part
2: “ Angel. "

20.00 News.

1040 Best Sellers: “The Star
Maker” (continued).

1L20 Sugar Ray Robinson:

Found For Pound.

12J20 am Close: “ Sit Up and
Listen ” with Steve Race.

r Indicates programme In
Hack and white

Mimic. TJD pm TVS' News. *.1*
Wtrteb This Saves. ... 540 CmUR to
Coast. 6.00 Coast to Cun' (wit),
11-20 Halleluiah Hollywood.

TYNE TEES

B.20 am The Good Ward. DUS North
East Naws. 11.00 Bach man -Turner
Overdrive. ' 1150 European Folk Tates.-
1.20 -North Eaat News. .1.25 Where
the Jobs Are, 1 5.15 Mark and Mindy.
JU» North. East News. 6-02 Crossroads.
.5.25 Northern Lite. 10-30 North' East
News. T1.20 Pavilion Folk. 1130 Man
or Loyola,

ULSTER

1 JO pm Lunchtime. *.13 Ulster
News 5.15 Hear Hera. . 5.30 Good
Evening Ulster. 6.00 Good Ewhirw
Ulster. 10.29 Ulster Weather. 11.20.
Bedtime.

YORKSHIRE

11.00 am Story Hour. 11. 55 Wattoo
Wattoo. 1.20 pm Calendar News- 6.15
Private Benjamin! 6.00 Calendar (Emlay
Moor and Balmont edition*). 11,18
Motorway.

(S) Stereophonic broadcast
t Medium Wavs

RADIO 1

5.00 am As Radfo 2. 7.00 Mike Road.

9.00 Simon Bares. 11.20 Dave Lae
Travis. 2.00 pm Paul Burnett. 3.30
Sieve Wright. S.00 Pefer Powell. 7.00
Radio 1 Mailbag. 8 00 Riehatd Skinner.
10.00-12.00 John Peal (5).

RADIO 2

5.00 ani Steve Jones fSl. 7.30
Tarry Wop an (S). 10-00 Jimmy Ynunq
(S). 12.02 pm Cricket Desk. 12.03
John Dunn (SJ. ZOO Ed Stewart (S).
*00 David Hamilton -(S). 6-45 News;
Snort. 6.00 David Svmonds with Much
Mqib Music (Sj. 8.00 Alan Dell with
Dance Band Days. 8.30 The King's
Collection (S). 9.00 The Folk Enter-

tamers (51- 9.30 Sounds of the Sun
IS). 9.56 Soon* Desk- 10.00 Tom
Mcnnard teHs Local Tales. 10.15 The
Baby Grand Song Factory. 10-30 Be

RADIO

My Guest says lan Wallace fSJ. 11.00
Brian Matthew with Round Midnight.

1.00 am Truckers' Hour (S). 2.00-5.00
You and the Night and the Music fS).

RADIO 3

6.55 am Weather. 7.00 News. 7.05
Your Midweek Choice (S). 8-00 News.
8(5 Your Midweek Choice (continued).
g’.OO News. 9.(5 This Week’s Composer:
Mendelssohn (5). 10.00 Orlande

String Quartet (S). 11.00 Georges

Enesco piano rental by John Ogdon
(Si. 11.40 Dvorak and Beethoven (5).

1.00 pm Nows. 1-05 Concert Hell
(S). 2.00 Mubic Weekly (S). 2 50
BBC Welsh Symphony Orchestra (S).

4.00 Choral Evensong (SJ. 4.B5 New*.

5.00 Mainly ler Pleasure (5). 7.00

Uo at the Big House. 7.30 Haydn and

Mendelssohn piano Trio recital (SJ. 8.15
BBC Symphony Orchestra in Paris,
part 1: Webern. Boulez (S);8*5 Six
Continents. 9.0S BBC Symphony
Orchestra in Pans, part 2: Boulez (SI ■

10.30 Beowulf (Third of six raadinga).

11.00 News.. 11.05 Thomas Talhs (S).
11.15 Brahms pis no recital. 12.00-

1.30 am The Russian Orthodox Christ-
mas Eve Service. -

Medium Wave as VHF except: 6.40-

11.00 am Cneket: Fourth Test. England
v 'India from Calcutta.

RADIO 4

6.00 am News Briefing. 6.10 Ferming
Today. 625 Shipping Forecast. 6.30
Today. 8.46 The Widows r by Georges
Sunenon. 9.00 News. 9.05 Midweek
with Henry Kelly. 10.00 New*; 10.02

Gardeners' Question Time- 10 JO Dirty
Service. 10.46 Morning Story. TUB
New*. 11.06 Baker's Dozen (5). TZBB
News.. 12-02. pm You and Younu 12-27.
Around the World in 25 Yearn (SJ,
12-55 Weather, programme news. -1.00
The world at One. 1.40 Th« Archers.
1.55 Shipping Forecast. 2.00 News.
2.02 Woman's Hour. 3.00 News. 3.02
Afternoon Theatre. 3 50 Zoo Talkie

4.00 Elisabeth Sods retrom 'presents
music on the theme of spring (S).
4 AS Story Tima. 5.00 PM: New Maga-
zine. 5.50 Shipping Forecast. 6.S5
Weather; programme news. 6.00 News.
6 JO My Word! (S). 7.00 News. 7.05
The Archers. 7 JO Aspects ©I die
Fringe. 8 00 .The Two-Edged Sword —
A Question of Security. 9.30 Kaleido-
scope. SB Weather. 10.00 The World
Tonight fSj. 10.30 Quote . ; . Uitgool*
fS) 11.00 A Book et Bedtime. 11.15
The Financial World Tonight. 1130
Unforgettable*. 12.00 News.

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Energy Review: German energy policy

By Keyin Done in Frankfurt

the risks more thinly

“FORECASTING is the art of
knowing w^er to scratch before
it starts to itch,” said a West
German Federal Economics
Ministry official in an aside as
the Government revealed its re-
vised energy programme re-
cently, the first comprehensive
re-statement of policy since
197T.

Having twice been caught
scratching in the wrong place
since the first oil crisis in 1973-
1974. however. Bonn has
learned its lesson. The coun-
try's overwhelming dependence
on imported energy, the
Achilles heel of the West Ger-
man economy Temains. but the
Government has given up its
vain attempts at quantifying the
Federal Republic’s future
energy needs.

Bonn has discovered,
belatedly, the 'Slly of wandering
into the minefield of energy
forecasting, but it has been
powerless to disguise the vul-
nerability which arises from the
Federal Republic’s need to im-
port nearly two-thirds of its
energy requirements. With a
poverty of domestic natural
resources the massive increase
in the price of energy over tbe
past eight years has bitten
deeply into the country's
prosperity.

Last y®ar as much as 5 per
cent (rf West Germany’s gross

Energy accounted
for 23 per cent
of all imports

national product wifi have had
to have been spent on net
energy imports compared with
4.3 per cem in 1980. 3.4 per cent
in 1979, 2.4 per cent in 1978 and
only 1 per cent in 1972. The
net energy import bill is
expected to have risen to
around DM 75bn (more than
£17bn) in 1981 against
DM 64.6bn in 1980. In 1978
the bill for energy imports
(net) totalled DM 31 bn and in
1972 it amounted to only DM
Sbn.

A surplus of DM IS.nhn on
the current account in 1978 was
transformed into a deficit of
ncariy DM 30bn in 19S0 — flbere
was a deficit of DM 23.4bn in the
first 10 months of 3981. Accord-
ing to the Bundesbank, i he West
German central batfik. blame for
more than baOf of the “ swing ”
of DM 4$bn between 1978 and
1980. can be placed at the door
of higher energy prices.

West Germany lives largely
on its ability to export manu-
factured goods. Today the work-
force that produces those goods
is having to accept a lowering

of its living standards to pay
for the transfer of wealth that
Is occurring because of the bur-
den of higher energy prices.
Around 20 per cent of the
country's exports are needed to
pay for the energy Import hill
against 11 per cent in 1978 and
only 0 per cent in 1972.

Energy imports in 1980 cost
DM VVbn — offset by energy-
exports of less than DM 13bn
— and the cost of imported
energy was expected to rise' to
some DM 90bn last year, despite
a significant cut in volumes.
Energy accounted for 23 per
cent of ail West Germany’s
imports in 1980 compared with
only fl.5 per cent in 1972.

Since the first oil crisis Bonn
has given a clear priority in its
energy policy-making to reduc-
ing the dangerous dominance of
nil in the economy. At the same
time it has committed itself
strongly and at considerable
expense to expanding the role
of coal — especially domestic coal
—and to cutting energy waste
through encouraging invest-
ment in energy conservation
and in measures to ensure the
more efficient use of fuels.

These polices — pursed stead-
fastly ennush since 1974 — have
been accompanied by an often
wavering commitment to nuclear
power. The credibility of the
whole policy edifice has been
undermined and the Govern-
ment’s reel commitment to cut-
ting oil imports thrown into
doubt by its uncertain handling
of the nuclear issue.

The stumbling in Bonn has
been thrown into a particularly
sharp light by the success of
neighbouring Franco in pursu-
inc the nuclear alternative.

TTie anti-nuclear opposition in
the Federal Republic has lost
none of its force — witness onjy
the violent clashes at the con-
struction site of the Brokdorf
nuclear power station in north-
ern Germany last year— but
Bonn has dearly decided that
the time has come to start steer-
ing the country firmly back on
to the nuclear track. The
delays of the last six years will
never be made up, but at least
the much slower than expected
growth in energy demand has
reduced the penalty for pro-
crastination.

The Government's revamped
energy policy is in many
respects merely the old mixture
as before, but not on the
nuclear issue. The language is
couched with care so as not
further to arouse the anti>
nudear lobbies in die parties
of the ruling Social Democrat-
Free Democrat coafittan. ifee
passages on nudear .energy
were changed most often before
the policy document received
Catenet approval— but the new
commitment to nudear . power
is unmistakable.

Gone is toe formulation of

SOURCES OF WEST GERMAN ENERGY

DOMESTIC

1973 1980

million tonnes
coal equivalent

1973 1980

% share of

total energy

Coal

74.7

66.5

19.7

17.1

Lignite

31.7

37J

83

9S

Natural gas

21.9

19.9

S3

5.1

Oil

9A

4.8

2J

7.7

Others

64

7.7

' 14

2.0

Total domestic

144J

138.2

38.1

354

IMPORTS

Oil

199J

178.7

S2.7

4SJ

Natural gas

164

44 A

44

174

Nudear

3.9

144

1.0

3.7

Coal

9J5

10.7

2.5

2.7

Othorf

4.9

3.8

1J

1-0

Total imports

234.2

252.0

61.9

64.6

TOTAL

3783

3902

100.0

100-0

Source:

Watt German Coal Industry Federation

the last energy programme
which spoke only of a “limited
expansion of nuclear enercy . . .
if the means of reprocessing
and waste disposal are
adequately safeguarded.” There
is also no trace of FDP and
SPD party conference resolu-
tions which in the laite 1970s
bound the parties to allotting
to nuclear energy no more than
the role of meeting “residual
demand,' ’ .and which asserted
that toe option should be
opened of abandoning nuclear
energy altogether.

The Government's newly dis-
covered zeal for the nuclear
cause appears to derive from
its growing concern that the
competitiveness Qf German
industry could be endangered if
power prices in the Federal
Republic rise way above levels
in neighbouring countries.

Companies in the energy-
intensive chemicals sector, one
of the main pillars of German
industry, have already com-
plained that they are forced to
pay 25 per cent more for elec-
tricity than their rivals in
France.

Bonn's revised energy pro-
gramme admits that “a larger
constribution from favourably-
priced nuclear power would
strengthen toe competitiveness
of German industry. . . . The
present contribution of nuclear
power as well as planning and
building lead-times do not meet
the demands of energy and

industrial policy There are

clearly fewer base-load power
stations available today for
generating power at favourable
costs around the clock than are
necessary fn the interests of
holding power prices at inter-
nationally competitive IeveIs. , ’

The Economics Ministry esti-

mates that there is a shortage
of as much as 9,000 MW of
base-load capacity. There is
virtually no potential for ex-
pansion of the other two
sources of base-load power, lig-
nite and hydro - electricity,
which appears to leave little
alternative to building more
nuclear power stations.

The Government has refused
to set any formal targets, hav-
ing been proved so wrong in
the past. In 1974, when it first
set about revising its energy
programme in the wake of the
oil crisis, it worked out itself
all the estimates for future
energy supply and demand.

By 1377 and the second uu-
dafe v it had been sufficiently
chastened to hand the main
energy forecasting job to a
group of economic institutes,
providing only a base with its
its own broad assumptions for
future economic growth. This
time Bonn shied even at this
responsibility and gave the in-
stitutes an entirely free hand,
loudly disclaiming all rights tn
authorship nf the forecasts that
accompany its policy document.

In its first revised energy
programme, published in 1374.
Bonn was sufficiently foolhardy
to set the ambitious target of
having 45-50,500 MW (mega-
watts) of nuclear power
installed by 1985. That
programme has been thrown
hopelessly off course and the
best that can be hoped for by
1985 is an installed capacity of

18.000 MW.

West Germany currently has
some _ 9,000 MW of nuclear
capacity in operation, generat-
ing around 13 per cent of the
country’s power needs and
accounting in the first nine
months of 1981 for 4.8 per cent

of primary energy requirements.
A further 11.200 MW of capacity
is under construction and work
on another 1300 MW reactor at
Wyhl Dear tbe French border
has been stopped by the local
utilities pending the outcome of-
court hearings that have been
under way since 1977.

The authorities and toe
nuclear industry still face con-
siderable obstacles in complet-
ing this programme and in push-
ing through projects in other
parts of the nuclear fuel cycle.
A site Is still to be found for
the country's .first plant for re-
processing spent nuclear fuel,
permission is still to be given
for the building of the first
interim storage site for nuclear
waste, and the DM 8.4bn
advanced reactor development
programme involving the con-
struction of the controversial
fast breeder and high tempera-
ture reactors is threatening to
grind to a halt through shortage
of finance arising from massive
delays and a horrendous escala-
tion of costs.

Tbe nuclear programme is
certainly not nut of the wood
yet, and it remains to be seen
if recent executive moves to
streamline the regulatory pro-
cedure will have any practical
impact on building times, hut
Chancellor Helmut Schmidt can
certainly claim that the Govern-
ment's support for the expan-
sion oE nuclear power is now.
unequivocal. Bonn can claim
success, too, on other important
parts of the energy front

Substitution through - other
fuels, chiefly coal and gas, pro-
gress in energy saving and weak
economic activity has helped to
push back the share of- oil in
total primary energy consump-
tion to around 45 per cent list
year compared with 47.fi per
cent to 1980 and a peak of S5J2
' per cent in 1973, Oil consump-
tion was down by about 13 per
cent last year. and. the volume
of crude oil imports has fallen
by 19 per cent {Hlgber prices
still ensured a 13 per cent rise
in the crude oil. import hill to.
DM 41.25bn in the first 10
months of 19BL however.)

West Germany, has also
managed to break ,<he old
matching link between econo-
mic growth add ' growth in
energy demand.' From 1973 tn
1980 primary energy -consump-
tion increased ‘by only '3.1 per
cent while the Federal Repub-
lic’s GNp grew in real terms by .

17.5 per cent • - .

West Germany has succeeded,
too, in halting the apparently
irreversible decline in- the out-
put of coa), the only, abundant,
domestic -. source of - energy.,
i Proven reserves of coal at more
thao 24bn tonnes could last 300.
years at current production

rates.) Restoring the industry’s
fortunes is proving a costly
process, however— rthe fall in
output was arrested in 3979, the
end of a long decline since the
mid-1950s, and production has
stabilised at around 90m tonnes
of coal equivalent (tee) — but
the idnustry swallowed DM 6.3bs
in state financial aid in 1980.

The tightening squeeze on
public expenditure can hardly
allow continuing support on this
scale and investment subsidies
already have been chopped to
only DM 150m in this year’s
federal budget compared with a
level of around DM 800m in the
late' 1970s. The industry has
warned recently that aid at this
level will jeopardise its ambi-
tious plans for pushing produc-
tion-back up to -around 190m
tee a year by the end of the
century.

The door was opened last
year, however, to a gradual in-'
crease in coal imports, ‘ and
West Germany has also had
success in diversifying its exist- .
ing sources of imported energy.
The share of the Opec (Organi-
sation of Petroleum Exporting
Countries) states in West'
German crude oil imports has
been cut to around 73 per rant
compared with 96 per cent • in

Open to political
blackmail
from Moscow

1973, with North Sea oil nc
meeting. 20 per cent of supplic
The signing, of the can trim
sial new natural gas - supp
contract with the Soviet Unii
last November -is also seen 1
Bonn a? a-lurther^ divefsific
rion of its . overall energy su
plies: The shire; of .Russian g
in .the, country’s - cbhstiinpth
twill jump from around .17 p
cent to some. 30 per cent by ti
late ISSOs. 'but the share in tot
energy demand will increa
-only from . 3 per ceht to ju
under 6 per, cent, : (The Sdvii
. Union: alto - nBrntotiy- supplii
50 pcr cent o* West Ge
manys . uranium - eurichinifl]
services and about 3. per cei
of Its crude oil needs.] "!'.■«

.. - ^h« .opposition ‘ to -.the; da
aroused in {he .iXS. • because <
the military takeover in Pol an
and fears of .itonn, heing lai
open to political blackmail fra
Moscow, is & graphic .rentihcU
of how exposed tbe jugular vei
of West . .Germany’s, energ
supplies remains, however. Th
.risks cam: hardly bfr. rednto
Bonn can only seek to'sprea
them, a little more thinly.

MANAGEMENT PAGE

EDITED BY CHRISTOPHER LORENZ

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13

i ir rztM

INTEEN A'HON'AL - Telephone
«kL Tdcgras* ias a couple of
big problems in its core business
of Xe&oconxnanacataems.. One of
them'is tbat the company & tbo
artrrfH ' “

Thismayseem an oddrftroaik
to jqoate'-tiBouft in •actWit y fea t
in 1980 generated $7bn of HTs
totaTffOup sales of $23.Sbn and
gaTO wbat fis ^te world's largest
industrial . conglomerate abom
; & perm^ of.fiie WOTid market
in telectrajraanicattons equip*
jheat- •. » .

- ■ But it is true in die sense
1faat»-nn4ikfi^ts- major compete-
tors — such as Sweden’s Eric-
sson, West Germany’s Siemens;'
Western. Elertzfic of the U.S.,

■ and Nippon. Electric of Japan—
ITT does cat hove a single
market in which it can ritim
natural dominance.

. InTSoMpe, ITT is present in '

■ afanost..- every - country, - hot.
iffiuaHy as. the number two ’

- aipp&er to a national competi-
tOEi "Where, it is- liumfa er one, ,
as in Spain and Betgarm. there
is xbwagiB the uneasy fear that
some day p6itfics, as is happen- 1
ing in. France, w4H tfictate that
ITT be gobbed of its leadership;

' In tfse US, ITT has the:-
problem of living beneath, the'
-shadow 'of a dominant earlier
•and snppaief (AT and T and
its manufacturing subskSLaxy,
Western Electric) wa&oct die
campensation o£ running a
strong ^second. It hasmxter
2 per cent of the switch market,
even with the business it bpnght
by acquiring -North Electric

■ from United Teleccnnmundca-
tions in 1978. In the teflephone
message' ' bamoess, which 1 ITT .
'entered only recently,. the com-
pany is doubling in size every
year, but it still has less than
half a per cent of the market.

And- as the slow march of
deregulation continues, ITT is
not only. up. against the jogger-:
naiits, ilfce AT and T, X isatiso
. being jostled by c pack of com-
petitors, many of them. Mke
MCI Communications and Rohn,
.young, fiflsky. end single-'
minded.- <

Outside ef the two largest
. tetecoanm markets hi the world,

* EFT^alsb has same prohlems. Mt
reciai^ wiithdnew an -Enstraflon
from the Brazafllan marfeAt, seB-
ing; its' remefipigg .49 per; cent
stake in Sesa B&o, rather than
strong) up the $85m needed to
meet demands being - made by
the Brazilian Government. Into .
that ; breach has leapt- Nippon;'
Etedbrac, an-'odd foe and a codok
pany fai wbdeh- FIT onc e had a
Iff par eent sta&e. ITT has afco -

TT finds that being big is not big enough

in a second article on the U.S. conglomerate, examines the prospects for its core telecommunications business

pu£ed- out of South African
Telecomms “for pcflfiacai
reasons.” - ' ■

That leads - to ■ ETTs eecond
big problem how ^ do you for-
nmiate one &ategy to fit three
quite, different market positions
and; moreover, .how do you do
it rod at the same time make
1 sense of the ^reader opportund-
ties: created by Ihe convergence
of telecomm and computer
technology. v'' ; '

At tie ibcBueotv HT does not
hsv& ap.. exact answer to tifcris
question- . -It has fragments of
an answer ■-«od- is prepared to
offer ifizds -as to how they may
«r migr . not one day be.
assembled too a global strategy.

The fir^menfts are:

Europe. Here at least, irrten-
tiom are cfear. ITT believes it
can hang on to its traditSonad
market Shares in the major
TBampeg a - markets (30 per cent
BaJy, 25 per cent in West
■ Germany, 16 per cent in France,
65 percent in Spain and 75 per
-cent in Belgium— in Britain,
TIT has a share in British Tele-
ibom's rival System X switch)
by.. selling its electronic, digital
system 1240 switch, which it is
developing at a cost of over
$lbn.

Disjointed

However, this belief must be
gauged in t he light of the difR-
culties ITT has experienced in
trying to catch up in the mar-
ket for Advanced electronic
exchanges and which highlight
vividly the problems associated
with being a widely spread in-
ternational group. Its efforts
have been disjoi nted and have
led to two- of TITS largest
European subsidiaries becom-
ing' committed to two different
systems which may well com-
pete on the world market in
future years. ' •

The* most striking example of
this fragmentation of effort is
the commitment of Stan dard
Telephone and Cables, ITTs UK
offshoot to. ‘System X rather
than ITTs own System 12. STC
is - one of three companies in-
volved in the development of
the system for British Telecom.
The other two are General
Electric Company and Plessey.

; r STC, long a member of the
elite band- of suppliers to the
Post Office,’ must : also. now
show how it can adapt to more
competitive forces following the
liberalisation of the market for
subscriber equipment.-

^ , « TT .

sm (TeJecOTHiUHncatians

400— and Etectrooics &oup)—
pre-tax profits

leieJSk

,*7

*v-~

387B '78 "80

The fragmentation that has been as much in evidence in ITTs
telecommunications activities as in the group as a whole has
presented Fred Gibbs, head of this part of the conglomerate’s
business with a number of dilemmas. The independence given
to overseas subsidiaries, particularly in Europe, has at times
resulted in product development programmes running along

The late start in advanced
electronic exchanges stemmed
from the refusal of FIT’S
engineers tw accept, until five
years ago, the need for a digital
(rather than an analogue)
approach to switch technology.
(The advantage of digital is
that it breaks telephone
messages up into more accurate,
faster computer-type codes.)
The success of Ericsson’s Axe
System convinced them other-
wise. But t here was further
confusion as ITT engineers on
each side of the Atlantic
worked on rival versions of the
System 12, a duplication of
effort ended ' in 1979 by Fred
Gibbs, who had just been
appointed head of the telecoms
business. He cancelled the
American programme, but trans-
ferred the technology it had
developed — a distributed logic
switch— to Europe for final
development

One by-product of this
hesitation was that by the time
Gibbs made the big decision.
Stan dard Elektrik . Lorenz,
ITTs West German com-
pany, had .already submitted
the European design, called the
12-30, for an Austrian bid.

When ITT withdrew its 12-30
and tried to re-offer the 12-40
to the Austri ans, it was told it
was too late. ITT now faces the
rather humiliating prospect of
being- able to maintain its

Dominant

Fred Bibbs

normal one third share of the
Austrian market only if it can
get a deal to build a Siemens
switch, under licence.

There is widespread agree-
ment among informed observers,
however, that System 12-40 is
as good a switch as any on the
market, although its special
distributed logic feature, which
permits a customer to buy
switching power gradually in
add-on modules, has yet to prove
itself in terms of market appeal.

But Gibbs is confident He
forecasts that by 1986 ITT will
be selling 6.24m lines a year,
of which 3.75m will be the
.System 12 family. He also rejects
the argument that ITTs number
two role in Europe is a weak-
ness. “For a multinational. I
think it is better to be number
two than it is to be number
one.”

He does not believe that the
grad ual French takeover of
ITTs telecomms business in
that country (the final 16 per
cent is about to be nationalised)
would have happened had ITT
not been the dominant company
in the early 1970s.

The U.S. Here lies the big-
gest question mark. ITT,
through its purchase of North

separate lines with different versions of the same product
emerging and, even more extreme, the UK subsidiary com-
mitting itself to a product rivalling that developed elsewhere
in the group. Now. while trying to establish greater cohesion,
the telecommunications bos in ess is beginning to find itself
more exposed to competitive forces in some traditional markets.

Electric, was positioning itself
for a major assault on the UB.
switch market, thus providing
the key to a solidly profitable
base for its other -telecomm
equipment sales in the U.S.,
which range from telegraph
poles to telephone handsets and
PABXs. Essentially, ITT has to
sell System 12 to AT and T.

Today, Rand Araskog, ITTs
chairman, is very blunt on this
subject “ I don’t think we are
going to sell major systems to
them unless there is legisla-
tion.” The deregulation legisla-
tion now before the House of
Representatives includes a pro-
vision to force AT and T to buy
30 per cent of its supplies from
outside its own group com-
panies. But a Senate version of
the bill is silent on this subject.
If ITT does not get its way.
says Araskog. he considers the
U.S. market “very dubious.”

At present Western Electric
makes 90 per cent of AT and Ts
switches and the other major
phone companies — apart from
AT and T— like GTE, also have
their own in-house supplier.

At the same time as Araskog
says ihese things, however, his
engineers are working to up-
grade a less sophisticated
version of System 12, the 12-10,
developed at North Electric, to
12-40 .standards. . .Financially,
that cannot be justified just for

North Electric’s business, 60 per
cent of which is still with its
old parent. United Telecomms.

Other markets: ITT will con-
tinue to export about 25 per
cent of its European switches to
third markets and will also con-
tinue to form joint ventures in
larger developing world mar-
kets. such as South Korea, and
Taiwan.

When it comes to communica-
tions services. ITTs base for
action is ITT WorldCom, the
leading U.S. international telex
carrier, with 35 per cent iff the
market.

That base has already been
expanded. as deregulation
occurs, to take in inland U.S.
telex services, trunk, telephone
services and eventually, says
George Knapp, head of .World-
corn, international voice traffic.
Knapp thinks that international
voice (now an AT and T
monopoly) will be deregulated
and that because of its already
strong ties with the European
telephone companies, ITT is a
natural number two in tins
market, perhaps as a common
carrier for some of the other,
smaller telephone companies,
such as MCI.

WorldCom, says Knapp, is also
working hard on the technology
of connecting compatible
streams of computer language
and solving other problems.
This, be says, is vital to the

development of Ingk nwnfins
services, as opposed to simple
common carrier functions.

But WorldCom, even in fits
d ramaticall y ex pande d form, is
orily prot of ITTs thiniing
about communications services.

Araskog has recently
appointed Robert Braverman to
head a group which Is designed
to draw toget her th e strengths
of WorldCom, HTs publishing
interests (which include ’phone
directory yellow pages, Who’s
Who and other books) and fits
vocational training services.

Braverman sees ITT becoming
a kind of communications
master - contractor, burking up
ownership of, or- access to, vast
data bases transmitting the
goods to customers on ITT lines.
Eventually, he says, ITT could,
for example, be running Ihe
entire communications function
of other companies.

• TIT, says Braverman, is
probably the only company in
Ihe world toe to offer a mix
of central office switching
(main public exchange) equip-
ment, telephone hardware, main-
tenance, data bases, training
and access to fits own inter-
natdonal communications
network.

The obvious missing piece in
all tins, how ever, is data pro-
cessing. ITT sells home com-
puters manufactured by a West
German company in Europe (it
used to sen Apples, until it feU
out with the Californian com-
pany) and tucked away in
Europe it has a collection of
companies which together form
the tenth hugest semiconductor
busin ess in the world. But so
far, ITT has fought shy of
computers and of the kind of
equipment that win be needed
for tmmmuincations within the
electronic office, downstream
from the PABX. in cases where
the PABX Is the nerve centre.

Expertise

“We are not going to duck
the data processing field out of
any fear of it.” says Araskog,
who, in . 1978, conducted a
serious hunt for a manufacturer
of computers. One of the com-
panies be looked aft. although
never talked to. was Wang
Laboratories. “It wouM take
something like that to be
attractive to us as opposed to
budding on what we have now,”
he says.

What ITT has now to build on

are its considerable micropro-
cessor expertise in West Ger-
many and the UK, a new soft-
ware research centre in Shel-
ton, Connecticut, and two U.S.
companies bought in 197S: 1
flum p and Courier.

Qume makes high-speed
printers for word processors ,
and Courier makes video display
screens for IBM,

These two companies, says
Araskog, are now developing
long-range plans, the details of
which he will not disclose, to
diversify from tbeir existing
products. “At some point they
will come more together, parti-
cularly in relation to the plan-
ning and software activity going
on at headquarters level,” he
says.

That is safely vague and stops
well short of the acceleration
into advanced elec troni cs pro-
ducts which some ITT -critics
would like to see.

But for tiie moment, Aras-
kog is playing it cautiously. He
obviously wants to see' the out-
come of the deregulation
decision. He also needs to
become clearer on whether ITT
will pull off a major divesti-
ture, whether of the forest pro-
ducts division currently on .the
block or something else. The -
proceeds of such a sale would
mainly be used to pay off debt,
but could also lead to a signifi-
cant acquisition. Yet another
financial possibility, says Aras-
kog, is to float off the new
Braverman group, complete

with WorldCom, as a separate
compa ny.

So, TTT-watchers are left

with fragments. Their co mfort ,
perhaps, should be that PIT’s
caution thus far has been
rewarded with a steady stream
of p rofits (normally a third of
ITTs total) from telecommuni-
cations.

Having seen the consequences
of the disastrous efforts by
Northern Telecom, Canada’s

leading manufacturer of public
telecommunications equipment,
to bre ak into the electronic
office, ITT is not about to fol-
low suit But there is little
doubt that telecommunications,
the bedrock upon which Harold
Geneen built his conglomer-
ate. will be there at the base
of ITT for a long time to come.
That is something which cannpt
be said with certainty for any
other part of ITT.

BOARDROOM BALLADS

This week's poem on foreign
competitors will appear on
Friday.

EDUCATIONAL

PUBLIC NOTICES

EARLS CX)t(RT 1 XJfltai 7 m January

Come and enjoy this super display of racing and cruising
yachts, motor sailers, cabin cruisers, inflatables, runabouts,

. .ThrillTo the exciting array of dinghies, sailboards, engines
and accessories! .. -

Delight at thesunHt poolside -centre feature sponsored by
Pe ter Stuyvesant-^ with musical fashion specta cul a rs a nd
novel demonstrations! —r .

- Get a new sensation from free safilngand sailhoarding

k^Heave the recession blues overboard! Rope in thewhole
fcniy-and preenyouredf at theirhappy smiles ^ .'tbereis so

much more to enjoy! At Lhe double then! •'

- Open dailylO 3Jn.-8-30 p Jn- Saturdays and Sundays
10 f in.-7p.rn. OaRed Carpet Oay^tcmioiTOW and
Friday, admission is &5, including free catalogue,

(r Mlrff wi £2-50). Additional catalogues AX each.

Saturday onvraids, admission-will be A230i.Ch*ldrea
(underl4)'£L20;

presented by the SBBNF &

rSst DAJjy express . :

HANDCROSS PARK
SCHOOL

THE GOVERNORS OFFER OP TO •
THREE ENTRANCE SCHOLARSHIPS

TENABLE FROM SOTEMBER 1982

Tho value of an award may he
up to half-foea.

Handctoss Park is an IAPS
co-educations! Preparatory School
of UK) children.

For prospectus and details of
Scholarships write to:

Thu Headmaster
Hand cross Park School
Kandcross

BLOND FINE ART. 33. Sackvllle St. Wl.
437 1230. GALLERY ARTISTS. Until
23 Jan.

UJMUY <
499 SOS
Masters. ,

ief^OrighS
Also Youfl

JTT, 24. Davies St. Wl.
Sh*3< Prints by Modon
ouno Print Makars.

COMPANY NOTICES

The. Balfour Beatty Associate Company
James Klloatrlck (Nlfferla) Limited, has
changed Its name to: JKN Construction
Company Limited as part of Its move Into
mule -discipline activities In Nlperla.

The company is now esunilshed with
dlvtslOUllSM operations covering:

Electrical and Mechanical Services
Overhead Power Transmission
CWH Construction
TeJeco m m u rWotion *

Electrical Cables and Product*

DONCASTER METROPOLITAN BOROUGH
COUNCIL

£7.750,000 Bills at 14 47-G4ths%
Issued 7th January, 1982. Applfcattocs
totalled £43.750,000. These arc the
only Bills outstanding.

CLUBS

Haywards Hoattl

let Sussex RH17 6HF

ART GALLERIES

MARLBOROUGH, E. Albemarle St, Wl.
JOHN PIPER Tudor Picturesque OHs,
ponacbe*. and now srepMca. Until 9 Jan.
82. MoOvFrl. 10-530. SaL 10-12.30.

MA1HAP GALLERY, 32, Motcomb street
London. SW1. TN. 235 0010. Specialists
In 19th Century and Contemporary Paint
loos In ARABIA.

EVE has outlived the others because of a
policy of fair plav and value ter money.
Supper from 10-3.30 am. Disco . and top
musicians, glamorous Hostesses, exciting
Ooorsfcows. 1B9. Repent St 734 0557.

THEATRES

TALK Of THE TOWN. CC 01-734 5051.
For reservations — or on entry — London's
greatest nig ht out From 6 pm. 5 HOURS
OF TOP ENTERTAINMENT. THE TALK
OF THE TOWN GALA GALAXY REVUE,
13.30 pmj. ANITA HARRIS (11 pm).
Dinner. Dancing. 3 bands.

UPSTREAM. 928 5394. From 29th Dec.
Family Musical YOU'RE A GOOD MAN
CHARLIE BROWN.

VAUDEVILLE. CC 01-836 9983. Eves

B. Wed Mots 2 AS. Sats 5 & 8. cordon
JACKSON In AGATHA CHRISTIE'S
CARDS ON THE TABLE. SORRY. No
-reduced prices Irom any source but
seats bookable from £2.50. . •

VICTORIA PALACE. CC 01-62B 4735-6.
01-834 1317. Twice dally 2 AS A 7.30.
JOHN INMAN. ARTHUR LOWE, IAN
LAVENDER In MOTHER GOOSE. Group
Hies 01-379 5061 & Teledata 01-200

0200 (24 Mure).

WAREHOUSE. Don mar Theatre. Eartham
St. Coven! Gdn. Box otboc 836 560B.
ROYAL SHAKESPEARE COMPANY
GOOD by C. P. Tavlor han’t 7 JO pm.
Next porf HANSEL & GRETEL by David
Rudkin 13 Jan imav be lelt not suitable
for younger cMkfreni.

YOUNG VIC (Water loot 92 B 6363. Tont .
Frl A Sat 7.10. Scats £2.so JOHN
MORTIMER'S GASEBOOK Vhur 7.30 last
pert GOD5PEJ.L Today 2.30, J*st WHAAM
(Kids £1.15}.

I

'a • •

K ‘ mi

f

DotftinafcEfflex pgg te
rrtkfate by djoo6ingfhe wHfflg

Our Guide to Small Bustos
Systems (nonnalpnce £24), together
vrfffrWHICH COMPUTER? each month

Sosave £12 now and maybe thoasands tomorrow:

Julie Ferguson, _

3&31J&an]gtoaGie^

P:

-ijn

1 ! ;

\bifR be livingwith the computer
you choose for a lon& foogtime.

Make sure you mate
the right decision.

The which Computer? Show lets
you check out the new technology
to benefit your business, all under
one roof at one time.

\faur first and foremost

diary date of 1982
Tuesday 19 until Friday 22 January:

Now you can deckle which computer,
whichword processor with confidence.

Call 01-747 3131 for complimentary tickets or:

Bn; :jf Jpr«i:.wy '.Wivfh Co i.;,i;:nr ’ nv.c.v.nt Hr i KEhsIlOW ^.vuiin > 0^

BUILDING SOCIETY
RATS

Every Saturday the ...
Financial Times publishes a
table giving details of
BUILDING SOCIETY RATES
on offer to the pubik
For further details please ring
01-248 8000 Ext. 3606

m:.

computers

O'iick Arrow Hou:«,
Cliaoclos Road London NWIO 6NF
•lteOI-jMM/31 *:*•'* .

- . ‘rfciisurtiw.

Which Computer? tnow

Tb putpnr mo^yintobuMiig
projects -without takmg into account .
today's volatile energy scene is to
court finanrinl disaster

You should consider protecting
your investment in brides and mor-
tar by installing an electric heat
pomp.Becaiise it works on electri-
dtyto provide a comfcKiatte aivircn-
ment, there are none of the usual
worries about future energy suppHes.
Itis also extremely econoimdaL
This is because, 'when used for
^paring, an electric heat pump
actuaDy^mdaces aroundtwo-and-
arhalf times as much energy as it '

consumes. It does this by recover-
ing heatfrom inside and outside the
buikimgthat, mncaTnaldrcumstan-
ces,vpoiiIdbelosL -• -

So to avoid endingup with
very large, verywhite quadn^edai
pachyderms on your doorstep,
either send off the coupon, or con-
tact BemardHough at theHeat
Pump and Air Conditioning Bureau
on Freefone 2282.

He can then give you more
information and expat advice on
what could weD turn out to be the
best investment you have ever
•matift: dedricheatpumps.

j I would be interested in any feds
| and figures you can give me about

I eledne heat pumps.

Send toe The Heat Pomp and Air
I Conditioning Bureau, 30 MDhani;

| landoaSTHP-dED.

■ Name

J Position —

1 Company Address —

TwEiatndJjCoiim!,E?i^imdtznd»ales.

S-.-iO

Financial -Times Wedne sday January 6 1982
EDITED BY ALAN CANE

technology

n

‘Supermicros’ move m — ^ H

Low cost computer power tor ait

to oust business mini-computer systems

Overseas
Moving by
Michael
Gsson£

01-4461300

mcra mtwt COMPUTER — fre
basis of most- small business
computer systems — is boing
ousted by * new generation of
microcomputers. Built a ™ und
16-bit microprocessors. These
"supermicros” as they are
called, promise low cost com-
puting power for everyone from
the one-man business up to
departments of large companies.
•-Minicomputers are built out
of '■ specially designed circuit
boards, using several dozen
logic chips. Microcomputers, on

the other hand, are usually
based on a standard micro-
computer chip, such as those
produced by Intel and Motorola,
and - require less additional
circuitry. The software that
makes a microcomputer run is
similarly becoming standard-
ised.

Peripherals

- T . Minicomputer makers have
■designed their own proprietary

-"operating systems"— programs
•‘that control, the. basic computer
function— while microcomputer
“builders are chosing from one
-bf the- standard operating
■systems available from software
■suppliers.

i " Supermicros " are beginning
■to make their appearance in the
:U.S. Some are selling to
Original Equipment Manufao-
.turers (OEMs) who will build
:the computer unit into business
-systems with keyboards and
.video screens. Others come
jready for the user with all the
.jieripberaJs already in place.
r AH of them are aimed at the
.fltiU nebulous “ office of the

future," in which computers sup-
posedly wll -mcrcase Ule pro-

duetivity of the white
Worker and reduce the amount
of. paper passing from hand to

k^fhe supermicros all have
several things in common that
Sare them apart from todays

microcomputer.

important -perhaps, is that_they

are designed to be

than one person—usuaHy .up to

about live people can share a

m Eight%it • microcomputers,
immediate predecessors of 16-
bit machines perform poorly
when serving three or more

users. .

Taking multiple use one step
further, several of the machines
can be converted to networks.
These networks of machines
could link several microcom-
puters. maybe a couple of
printers, and a larger com-
puter holding a huge data base.

Sixteen-bit processors perform
more than twice as fast as the
S-bit micros used in most
personal computers because
they can get access to twice as
much data per instruction as an
8-bit machine, and because
their internal storage capacity
is higher. This cuts down on the
number of times the system has
to swap data between the
internal memory and the disc
. store.

' By LOUISE KEHOE in California

ward maenetic disc hermetically th .^j r lL s . oCt ! i a ^ n

Sealed

The business versions of the
new microprocessors are using
a new storage device called a
mini-Winchester disc, a small.

hard magnetic disc hermetically t
sealed into its own chamber and v
holding vastly more data than t
the "floppy” discs currently in r

USB-

"We can offer minicomputer c
capability at micro prices,-; i
boasts David Jackson, President s
of Altos, a San Jose California i
company that last year sold
$21m worth of small computers 1
for business use-. “Our introduc- <
tion of a 16-bit machine leap- <
frogs the personal computer j
companies, like Apple and 3
Radio Shack to take on -DEC j
and Data General,” he claims
The Altos machine will sell
to systems integrators _ for j
512,990. when it is equipped
with 512K bytes of built in
semiconductor memory and a
10m byte hard disc, data store
with floppy disc backup —
enough to satisfy most small
business requirements. Up to
eight users can share the pro-
cessing power of the system by
plugging in additional ter-
minals. "Most 16-bit mini-
computers cost two or three
times as much with the same
performance,” Jackson claims.

“ Microcomputer suppliers
are clearly becoming the leaders
In bringing the benefits of new
technology to small business
and professional applications
traditionally the domain of

minicomputer-based small com-
puter svstems vendors," says
Bob Wickham, a vice-president
of Vector Graphics, another
small business system vendor.

, - - According to Wickham, one
1 of the chief reasons for the

i popularity of the microcomputer

, based multi-user systems is

with the more than 500,000
CP/M based single user systems
now in use. • CP/M is one. of
the most widely used micro-
computer • operating systems
used in several papular per-
sonal computers (but not
Apple).

CP/M, which is sold by Digital
Research,, a California software,
company, has fuelled the growth
of small business systems,
agrees Bruce Winer, marketing
manager for development
products at Zilos.

Impact

“ It has provided a. commons
operating' system base on which
applications can be built.” he
says. The new version of CP/M
for 16-bit machines wH lallow
more than .1,000 business appli-
cations programs already avail-
able to run on more powerful
microcomputers.

Another company that is
making ah impact on the busi-
ness microcomputer market is
Convenient Technology of Santa
Clara, California. Convenient
has signed marketing agree-
ments with Burroughs and jN<-k
which will use the Convcrsent
microcomputers as the basis of
their new ranges of small busi-
ness systems. Three Bikers

Company of Natick. .

sachusetts, has licensed Britain s
ICL to manufacture its super-
micro built around a Motorola
68000 microprocessor.

At the low cost end of the
business computer market.

Fortune- Systems, a new com-
pany based in San Carlos, Cab-
forma, will seU its first .product
—a desktop microcomputer-
through computer retail stores.

* The Fortune 32:16 is. huilt
around a Motorola 68000 if**
microprocessor. The system
looks much like a personal com-
puter. But according to the
company, it can handle all the ,
requirements of a one-man
or can be expanded or net-
worked for larger offices.

' Fortune has adopted the
UNIX operating, system a
system designed by Beli Dabs

and used in several xnmicomr

puter systems. The basic mu .
which includes a floppy djri;
drive, keyboard and video dis-
play. will -sell m the . U.S. for

under $5,000. Extras mclu^a
Winchester disk^ an ^ of] SS|

internal memory. Software
available covers the standard
business applications.

Market

• Fortune and Altos are : among
the ctmpanies that will shake
up the small business computer
market according to ^an Yates
a market analyst at Gnortm
Concepts of California. She
predicts that sales of
and desk top computers pneed
at under $6,000 will total $obn
bv 1985. i

The market for higher per-
formance machines costmgany-
thing from $6,000 up to $60,000
(for multiple terminal installa-
tions) will reach S7bn over the
same period she calculates.

Solid state
pressure
transducer
element

ass * ass

Light pulses via cables
for thyristor switching

. iTOvo tctop fhat is Based on thin, t

Floppy diskettes

mailing

cover

im-wmcnesier uisu, « bum*** — — - _

Bandwidth method sheds decimal points

- oa wti7. for pxamole. becomes waterproof chart th*

-WESPAC has introduced a re-
cusable mailing cover for 5*
linrih and standard 8 inch
diskettes known as the
.“Wespac Floppy Mailer. It
4s available in multiples of 10
/at 48 pence for the 8 inch ver-
i'sion and 35p for the 51 inch
rtfne.

.-»■ Orders this month and next,
*the company says, include a
free sample for orders of 10 or
•more. Wespac is at 154, Shore-
ditch High Street, London
.-<01-729 1170).

STEMMING FROM a decision
made at the 1979 Worid'
Administrative Radio Confer-
ence in Geneva, a new method
of specifying the category and
bandwidth of radio •transmis-
sions came into effect on
January L

Apart from reducing these
two parameters to capital letters
and numerals only, the system
also does away with decimal
points and in general reduces
the possibility of error and
ambiguity.

The aim is also to facilitate
the keying of such data into

modem frequency management
systems based on computers.
However, the carrier frequency
itself will continue to be stated
in the usual way.

A four character code is used
tor bandwidth of which three
are numerals (yielding three
significant figures). Letters
are used to denote units: H for
hertz, K for kilohertz, M for
megahertz and G for gigahertz.

The letter is placed where
the decimal point would have
been. Thus. 0.2Hz in the old
style becomes H200 in the new.

or 24 MHz for example, becomes
24MO.

Three mandatory symbols are
to be used to describe the class
of transmission. The first des-
cribes the type of modulation,
the second describes the nature
of the signals modulating the
carrier < number of modulation
channels, whether they are
analogue or digital) while the
third indicates the type of
information (telegraphy,

facsimile, data, speech or video).

To make tilings easier.
Rediffusion Radio Systems has
put all the new data on to a

waterproof chart that can he
hung on the waiL

It was, however, compiled a
little too late to include another
change expected to be
announced soon by the Home
Office. In future, the power of
a radio station, it is understood,
will not be stated in watts, Kilo-
watts or megawatts, but will be
given in decibels referred to
one watt. .

The chart is available free
from Rediffusion Radio Systems,
Broomhill Road, Wandsworth
SW18 (01-874 7281). .

GEOFFREY CHARUSH

A TCrvnTSTnR that is Based on thin, three inch

Sr# mMM

3ES

SaHfiSaS

ESfcLfiifS

SSJJSnfr ^overall losses more than about 500 miles a
3$*2W length according t, GE.

MOTOROLA has reached J*®
Smpling stage wife® ’•

state pressure tran ^ cm *^„
ment and a complete opera-
module, bom.Bke& to^
the subject of a : high volume, .
low cost production.

The basic element uses a :
send conductor strain gauge
device operating on the saewre- ,
sistive principle. rt grv<s_ direct v
voltage as a fimctioii of pT^
sor& znd needs no closely -
matched associated, components

or Wheatstone bridge aixange* ■

merits. . . .. . , .

It- is Claimed that the. gauge.** .
highly accurate and stab le, g iv-
ing ‘an extremely linear hyster- •
esis— free output voltage- .

Three forms of the develop-
ment axe to be made available:,
the discrete tmcompejisated de-
ment; a printed hoard, assembly
that gives a high level tempera- j
ture compensated autjait, ana a
module, that can be used m '
harsh environments such as
that under the bonnet of a cat.

At 3 volts excitation, the out-
put of- the transducer element
is typically 60 millivolts for a .
one atmosphere pressure dif-
ferential. More on 01-802 8836. ;

Six-colour

process

SIMON-VK of Cheadleheath,

' Cheshire,, ha® - developed a six
colour • flexograph process for
printing laminates and ovenable
paperboards. The unit is able
to print four faces on one side
and two on the other or six
faces on one side. .More - from
Simon, PO Box 31, Stockport,
Cheshire (061-428 3600). . .

lgnmcauLij- —

Sony wins £1.5m NatWest cassette order

•' , i .i- « -Hi a tnalnr method ■of

J IT* — , .

Sony HAS won a contract this is the largest single -order video as the major method of
worth f 1 5m far 1,000 video placed for this type of €< Juip- communications for its • 63,000-

SSSJ5 ra ^ rom it N dSl me Tbe UW employees to th e UK.

A^e yourkssets in the Pink?

London Clearing Banks

as at December 9, 1981

THE TABLES below provide the first
monthly indication of the trends of bank
lending and deposits, ahead of the more
comprehensive banking and money
supply figures published later by the
Bank of England. Tables 1, - and 3
are prepared by the London clearing
banks. Tables 1 and 2 cover the business

of their offices and their subsidiaries
(excluding Scottish and Northern Ireland
banks) In England and Wales, the
Channel Islands and the Isle of Man
which are listed by the Bank of England
as falling within the monetary sector.
Table 3 covers the parent banks only.
In this, it is comparable with the figures

produced by the Bank of England, which
show the reserve positions of al l th e
h ank in g sectors subject to credit eentzoL
Minor differences here arise fro m - the
exclusion from the clearing bank figures
of Courts, a subsidiary of National
Westminster but a clearing bank in its
own right

Table i.

AGGREGATE BALANCES

LIABILITIES
Sterling deposits:

UK monetary sector ...

UK private sector

UK public sector

Overseas residents

Certificates of deposit

Total

outstanding

£m £m

Chango on
month

Total

outstanding

Chang* on
-.mouth v

of which: Sight

Time (inc. CD's)

Foreign currency deposits:

UK monetary sector

Other UK residents

Overseas residents

Certificates of deposit ...

Total deposits ....
Other liabilities*

■ 46,457
108,727
13387

- 48

- 47
-1,729

+ 104

BiHs:

fin

£m

fin

£m

.Treasury bills

Other bills -

369

1,248

• . ’

+ .13
+101

■ -

L6i* -*

■■ tm

+U4

Speelal deposits with Bank of

' England

— ■

Investments:

-

—,4a'

British Government stocks ...

2,612

Other i...

2815

4J>27

+ 17

Advances:

UK private sector

-38,021

r-347

UK public sector

Overseas residents

-1,720

-1,702

-296

TOTAL LIABILITIES ...

122,715

-L998

* Other sterling assets* ...
Foreign currencies
Market loans:

UK monetary sector ......

Certificates of deposit
Other

41,555
: 7,770

549

11,692 .

■321 -•
20,395

-.U3B
.+ .39

-259

ASSETS

Sterling

Cash and balances with Bank of

England

Market loans:

Discount market

UK banks -

Certificates of deposit

Local authorities

Other.

Bills

Advances: .- r ‘ -

UK private sector .............

UK public sector..:...... ....

Overseas residents':....^...,....

-U56
+ - *.

Other foreign currency assets*
TOTAL ASSETS:..

13413

...2*45?

I Acceptances ............

+419 Eligible Liabilities

17,082 +419 Eligible Liabilities

* Includes items in suspense and in transit.

122,715
• 1,530

—159

-1*98

TABLE 2. INDIVIDUAL GROUPS
OF BANKS' BALANCES .

.With the everincreasing demand
. for prime commercial space in the
U.K and overseas, finding the right
property is an asset to any company. Each Friday, the
Financial Times publish their Property Pages, tilled
with up-to-date infonnation.and. analysis of current
trpndcinthenroncrtvmarkeLTheyareessentialtoany

highly cost-effective means of reaching Europe s top
decisionmakers. And, whenyou are taJ king assets, the
’ Financial Tmes will probably be your greatest.

01-248 8000

LIABILITIES

Total deposits

ASSETS

Cash and balances with Bank of

England

Market loans:

UK monetary sector

Other

Bills

British Government stocks

Advances

TOTAL
Chango
Out- on
•tending month

£m * £m
108,727 -1,702

BARCLAYS

Chango
Out. an
sanding month

£m f.m
30,988 —168

LLOYDS MIDLAND

Chang* Chango

Out- on Out- on '

standing month sanding Jitanth .

£m £m £m , fin
18^40 -1^13 - 23,353 -134

NATIONAL WILLIAMS A
WESTMINSTER GLYNS

" ' Chongs - . Chugs

. Out- nn. Out- • -on .

: standing month' standlna nwntb

,£m. • Sm , Am' .-

33456 >-156 . .

L325

+ 69

358

+ IT

231 - 40

. 282 . + 35

- •4i6-;;-+ Ti

23,988

-880

6,768

- 78

3^44 ‘-749

3J669 +110

. &#n . .

533 ^-W

25^03

- 57

7,070

-227

4,798 -189

: 5,310 + 2

;.7jw;.+34t' =.

725 : :*+vV»

1,672

+116 .

584

+ 146

200 -125

-418 + 81

437 + r . “

• 32

2,612

- 42

740

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10,038 -131 . 12,196 ; -258 V 15,613^ -373 ' ; L588;

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Naturally, when it comes to disposing of your most
yaluableasset these pages offer potentialadvcrtisers a

FI FINANCIAL TIMES

VX* EUROPESBUSII€SS NEWSPAPER

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TABLE 3.

INDIVIDUAL GROUPS OF BANKS*
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46,244 “333

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6

Times Wednesday January 6 1982

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Chris Drtddey looks back at television, 1981

*. Opfy .an msanjqjac BOlymath
, W ^.TSdeb^ttOTdere ooald
legitimately «flfer a /angle sen.
e . fepce i^ssesaaent “4£-£avef the
4 •' vv ™e . 4 t ^t^eMBSoa-, for- -JMK
1 ■ Conclusions ijaeH '.as ■_ v It was a

• vgreat/a>f^»geA)por .year.” b^

- come, motet -and. more- su^pecL
Not oniy^ does teievision nmi
transanit . . such ' . a quantity ot
material'.'.^kat it is impossible
for oneipenstm' even to be sure
of seekig.aU the UgUighteffeut
in- «mtrast _ . to ,tfce vtheatrey

• rinem aj. .-.and concert hall. : tiie
pose /variety of material con-
veyed via this mefen is su ch
; . that any single conclusion must'
.ahnostjneritably be wrong for

"5°“^- P*rts of’ 4ie output

:•= Wiat is stere, whereas my
.. ....wBow crit&s on this page deal
; with Mulshed products resulting
' ft?”* . processes deliberately

undertaken by ~ one or more
, •. artists, be Svey dancers, actors.

: painters or whatever, some of

- •■ the anost interesting and signifi-
. cant, material on television is

.. ei t her unfinished or' the result'

- - of. anything but deliberate
.. intent. News, current' affairs
. : and- sports programmes (not -to

mention inept ' -continunity
... announcements J ore .. fun of?
such jc&anc© occurrences. - j-

•Hrey may- be communicated
witti ; greater or less teduucai; 1
expertise ■ and one might us&
funy review the standards ot
"■ - such -techniques. But it would:

be very odd- to offer an equal
. ^welcome.- to . three . great new-
Plays in the theatre and three
assassination attempts on tele-
-• vision /(Remark! . Reagan, -,-flie
. Pop?, and Anwar Sadat, fibe lAst
.tragically J successful) merely
\ becaaise- - • the assassination
... .atteatjpts were shown.- in all
• ^ eases quickly and in two : cases
. dearly in all our sitting rooms.
Some commentators find tee
mediation of -current events , by
television deeply ominous.
Nothing as - “real ” any more
. they .say^ every world-shaking
event becomes merely another
television programme. It is true-
that, -.once again in 1381, tete-. --
_7_ vision: was swiftly and closely
. invedved with the year’s inajor-
. happemn^rtee freeing of tee
' TLS. hostages in Iran, tee
.^ inauguration of Ronald- Sea.-. .
■ gan, .the Rtblock, hunger strike -
.. deaths, the. space shuttle' jour-
. neys,. street idotthg in Britton' 1
and Toxeth,' the . Warrington,

.. Crosby ". inff ' " Croydon T by-
elections, the -.cowariily IRA.

- bombs- in -London,-, and latterly
oppresaon in Poland.- ;.,-

Yet the" claim; thiat; television
somehow reduced aB" these to-

- - umfanhity ifir.. lessened . their

impact seems 4o me . aBsuni. .
. . ... Mttle more tltan a vivid example „
of • the transference >f-.the
listener’s guilt to the bringer
of unwelcome messages. Is it.
sezdously suggested -that in tee.
days trtien sueh occurrences
were “ newspaper events ” or .
be&we- that “ word of - mouth
events” public reaction - was
healthier, or- worth eir . or the
events hkhc “real”? There is
support for. • the • guilt-trans- : .
ference 'teeory in the fact that .
the objectjons disai^ear ' when-
the event is a happy one. ,

. . It was just such .an occurrence

- which ‘ provided THE tetarisiaii
event of ' 1981 if you. judge, by
size of audience, frequency of
repetition, and memorableness
among the public:. JxUj^s weck-

.' (fihg Of Phtoce Charles; and L»dy
. Diana Spencer. I- happened to. he
. in- a small town in - SardiBia at '
- the time, . but oouM stdll- see

• four -horns of the procession to
. .. St. Paul’s,, .the ceremony itself

and the return to the palace, all '
broadest Mve. ' Moreover; hack
in London reytew copies of the 5
wedding on videocessettee-from
. both ttoe BBC anjd ITV were :
waiting for me; evidence not- - .

only of the beginning, of a rev o-
' lution in teefanctogy, but also of
. a completdy different relation-
ship developing between: broad-
osster and public. -About Tim
' Bratish homes .-tard.. acquired
video- recojrdwB -by -the- end of
1981, and thus the rapacity to
become their . own programme
seheduIeisL. .

■What wite /teat end Teletext
(Jm in use now, im more to be
. maiHifacttired .m 1982) and. the
BBC lauiMbtog.thfe biggest push
ever In 'home computers, it
* would bc’-easy to devote 2,000
words-- alone, but

.we must-Jeit-back to tee soft-
ware^ or^pffdgrammes as they

--r: '

Despite tee natural reserva-
tions expressed above, I started
my mental- review feeling that
the year .was probably about
' average Forced by the number
^programmes- to start making
Kste. however. I realised that the
unltepreasiveness of the - most
'recent season had coloured my
view of the year as a whole; .
the- iprfng 'and early summer
Were, . sorely, extraordinarily
rich. >

ft would take stubborn ingrati-
tutte: to dismiss as merely
-“average ” a year in which
jjfranxa series and. serials in-
cluded To Serve- Them All My
Days, The History Man, Hitch
Hiker's Guide To The Galaxy. '
.Sons .and Lovers. Honky Tonk
Heroes (an ATV series about
a London club for cowboy
“dudes” which received less
attention than it deserved),
Btognor (also undervalued). My
Father’s House. B read or Blood,
BBC2’s powerful and moving
serial about the social history
'of 19th-century rural England,
-fhe gloriously funny Private
Schluz, M aybury, an incon-
sistent but brave and interest-
ing series about a psychiatric
ward, and The Flame Trees of
Tbflttt— and all those . without
even, mentioning the obvious
winner of all the awards in this
category, Brideshead Revisited.

Comedy as a whole was weak
verging on tee pateetic, much
- situation comedy sounding as
though it had been extruded
communally by a committee of
sociology lecturers. A seem-
ingly unending procession of
scripts lined up to poke fun hi
a neurotic way at. wimps: wet
Impotent males. As the months
. passed 'and the ineffectual
separated husband was replaced
.by the cringing diviorcd who
was overtaken by. a sniveling
widower and' a man in his 30s
vrfoh the thickest head pf. hate
ever seen babbling about going
bald,-- one longed for- an edict .
demanding that 'script writers
supply ten good jokes foe every
further draught of purgative
autobiography.

Almost alone Hi De Hi!
bucked tee trend, with its big
cast, . high- - professionalism,
willingness to allow comedy to
grow; naturally .out of character,
and determination tp provoke
the viewer to laughter rather
than group therapy. It deserves
till the honours it will collect.
The only, other sitcom to
mention is Holding the Fort
by newcomers Marks and Gran
who work hard and to good
effect on their dialogue. But
this was their second run.

-The lnnes Book Of Records
was again unique and cherish-
able .for tee scrupulous and
loving detail with which it is
made, hut the only series which
might be said to approach tee
level . of ;. healthy iconoclasm
boasted by “the 1960s Battee
shows was Not The Nine
O’Clock Nem, and the best they
could do in 1981 was to repeat
their shows from- 1980. Had

BBC2 only managed to sustain
and somehow organise the raw
talent which was sometimes
bursting out of London's Comic
Strip, sometimes collapsing in
it. they could have made the
year’s freshest comic series but
after one episode Boom Boom
Out Go The Lights, simply
disappeared.

The biggest contrast of ail
between that golden age and the
past year was in single plays.
Jonathan Miller finally. managed
in 1981 to impose a sense of
house style on the BBC's com-
plete Shakespeare, partly by
systematic references to paint-
ings, giving us a memorable
All’s W ell and an engrossing
Antony and Cieopalru. Don
Taylor and Louis Marks pro-
duced a marvellous The
Crucible on BBC1. Biit .those
are all old plays.

Only three new plays stick in
my memory: Ton y Perrin’s re-
telling of the ETU ballot-rigging
scandal. The Union; John Mor-
timer’s account of the Hitler-
infatuated Mitford girl, Unity:
and Gomq Gently. Thomas
Ellice’s play from Robert S. C.
Downs’ novel in which Norman
Wisdom and Fulton Mackay
played two men dying in a
cancer ward and Judi Dench
played their nurse, all under
Stephen Frears’ direction. Its
toughness, compassion and
honesty will stay with me a
very long time.

In summary, then, television
dramo in 19S1 saw an accelera-
tion in the drift away from the
single play and towards series
and serials, a movement which,
as I have said before, seems
quite natural and unexception-
able in this medium. A parallel
shift continued in documen-
taries.

Admittedly there were among
the single documentaries rather
more borderline cases than
among the ploys, and many
works which, though pushed in
under umbrella titles, were
really one-off productions.
Thames Television's Take 6,
for instance, included several
exciting programmes by brand-
new directors, and Man Alive
presented a memorably stark
and honest edition on road
safety.

Among those actually pre-
sented as single documentaries
my own shortest for a-wards,
hi transmossion order, would be -
Rhoffip Spelt's delightful and
dedicate fiten about a piano
tuner. The Glasebroak Touch;
Peter West’s quirky account of
taxidermy. Lion; and Edward
MiraoefFs programme The
Englishwoman And The Horse
-which was sometimes Mlarious,
sometimes mind boggling, yet
never unkfod.

AM three were on BBC 2 and
sfrnce rt he same -channel carried
The History Man, Hitch Hiker’s
Guide. Sons And Lovers, Bread
Or Blood, Private Schulz, M ay-
bury, Unity. Going Gently, The
lnnes Booh of Records, and
Boom Boom Out Go The Lights
as weK as five out of the six
best documentary series, it
earns a spetiad mention as
Ch aimed Of The Yea\.

In autumn 1982 BBC 2 con-
trcffller Brian WenSiam may bare
to look to his laurels when
CfttanaKd 4 comes on the' ate —
though It may not be has pigeon
by teen ffince has successes must
have earned Mm a very strong
daam to the job of managing
director BBC Television which
is vacated by Alasdair Milne
as he moves tip to director-
geoerafl.

Those five documentary series
were Robert Kee's Ireland, A
Television History which, like
its ITV counterpart The

• iunv-.

•■it** curriiiili - t

I'tiwwW^nijuwK.

- . • ,. x ; .

. tl t. \ec Irtrc't. ijfnuii-
: Iv.^’k: r|

Punch and Judy

-V- >?- .

by DOMINIC GILL

►-v “

Anthony Andrews and Jeremy Irons in Brideshead Revisited

Troubles was long overdue but
all the more welcome; The
Making of Mankind in which I
learned much from Richard
Leakey's palaeontology even
while being annoyed by his
preaching; Personal Pleasures
With Sir Hugh Casson which
did indeed provide much
pleasure; the snappy, humorous
and invigoratingly sensible
Suoicdon On Camera which
proved' to be that rare
phenomenon, a television series
that was (If only slighlly) too
short; and Fighter Pilot which
would have seemed even more
remarkable had we not already
seen Sailor. Strange ways and so
on.

Having singled out RBC2.
justice demands a special
mention also for Granada
Television, the only original
ITV company surviving to
celebrate its silver jubilee in
1981. That alone may not be
worth a medal, but the
company’s continued record
certainly is. Not only did teey
bring us Bridcsfiead Revisited,
the best drama of the year and
probably the best television
adaptation ever, but their
television journalism continued
to stand head and shoulders
above the rest.

Their series Rich World, Poor
World explained with uncom-
promising candour and awful
clarity the invidious relation-
ship between north and south,
first and third worlds. They
commissioned Jack Gold to film
Kenneth MacMillan working as
choreographer and in A Lot Of
Happiness be turned in the best
televised analysts of ballet I
have ever seen. They con-
tinued with Brian Lapping’s
unique “ hypotherticals ” .and,
thanks to Leslie Woodhead,
supplied both of the year’s best
drama documentaries: Strike
which last month re-created in
minute detail the birth of
Solidarity in the Lenin ship-
yard. and earlier Invasion
which, perhaps did an even
more extraordinarily impressive
job on the toppling of Dubcek.

Elsewhere the drama docu-
mentary remained vaguely
unpopular, mainly because few
organisations except Granada
will provide the money, the

THEATRES

' J^n T.- -IS" 9,' ™f .

MT^DO. 7 Jo MxtS Wfft . Sjl

■ 2. SO. CMlt card hn tifne Ol : 93t> 0731.

ALBERT.- MatlngM on*v- SB“

37^ . ^CUuJ ORJV

PAIN . IN THE NECK. A
with b jute.. The n*w Vk: Theatre DfO-
<j action, -pi recced by ■

Mon-Toe-Wedrhl *t 2.30 Sat at

. 11 am. To as* .18 *U “

seat*' £3.90.

• ’WM, %**£**%*

1981. TREVOR EVE Actor of the Tear.
ELIZABETH QUINN- Amnl
CHILDREN OF A LESSER GOD. PLAY
OF THE YEAR-. - ' ■ - -

. rSA*. COMPANY In

SmleiM ton-t 7,30. CTMi jNav^lB^ahpnt
"ml- «

RWiB

379 soei.-RSC also at The. Warehouse/
PlccaillTtv. - ' ■

ambassadors, me. iJ7i. Evee a. Mat*

'' ITrcsemart lIaoT DAV fO^j^
B* OIAKING CROSS ROAD by Helene

Hanfl.

APOLLO. SheKesbar y Av c.5 CC 0J-A37

mSu2 7 jrt. Prtee* s:i-so to
2 7 SWEKS MOST fHO JAN

is. ■ ■ • :

APOLLO VICTORIA 3, FS3‘

THE SOUND OF MUSIC PCTIILA . CLA^.

- ilREAlEST VALUE- SEATS FROM £2-S0.

*ShS'

KAYVDON Hi WOBZBL SUMWDCS*

vSts So. UnHI Jen IS. ian

T2» ifc 7?».rrSi» "pvSzr&Se

2 M. Feb I- 13 E¥e£ 7 30, blits Weds.
Set Z JO.

: COVEWJ garden. lAl/lOM 'S '(Garten.

- .Omree CC- 036 mo 3J 85 ampMsean.

mil lor all certs tram lOwn on the day
: . ef perf'THE. ROYAL OPERA Ton's & Sat

- atr 7.00. Tuex at 7.3®. Don OocMnl.
THE HOYAL BALLET Tomor at 7.30.

... Lc&- Patlneirs. My Brother. My Eater*,

. Elite Syncopations. Frl A Mon at 7-30.

. The- st a cpto a Beauty. . .

CRITERION. S 930 3216. CC 379 6S6S.
Cn» Wee* .836 396Z. Mon-Thors 7.30-
PH and- Sat. GO and BAS. Nominated
BS COMEDY OP THE YEAR 1981 SWET
Award*. DARIO FO-S COMEDY CAN'T
PAYT WONTJ«YI

DRURY LANE-. ' Theatre Royal- CC 83G
8108. Opeotas Peb 4. prevlem Feb 1.
2 * 3. AN EVENING'S INTERCOURSE
with the- WIDELY LIKED BARRY
HUMPHRIES. Pot TO weeks only. Pay
now. .lansh later.; Book now.-

DUKE OF -YORK'S.- .838 SI 22. CC 836
9837. Grp Seles 379 6081. Evs 7 AS.
h price MM Thors 3. SM S A 8.1S.
SIMAN .CALLOW and .PATRICK RYE-
CART In The Beastly BeaotHndes of
BALTHAZAR. by. J. P. OONLEAVY.
Enjoy pre-show lonecr at Ca ic Charco
A Utt tor only £7. BO. Tel 9M 4740.

DUCHESS. & add CC 836 8243. Eves 8.
Wed 3. Sat. 5-20 A 8JH). RIchart Todd.
Cerran Neshttr and Card* . Mowlarnlii
THE BEST THRILLER FOR YEARS THE
BUSINBS OP' MURDER. ...

FORTUNE THEATRE. 01-826 2238. S.
Russell St Cowent Garden. An hilarious
entertainment with music ftarrtug JOHN
. BAR DON W tj» ItficnderY MAX MILLER
in HERE’S A FUNKY THING. Written
and devised by R. W. Sukesoeare.
Mon to Thura 8 pm; Frl & Sat G & 9 pm.
For . a - limited - season. £2.50, £3-50-
£4-50. £S.OO.-Tno lowest ticket prices
In the West End! .

GARRICK. 5 CC ' 806' 4601. - MARTIN
JARVIS, JUDY GtLESON and FLIER
BLYTHE. CAUGHT IN THE ACT. Mon-
Thur* 8.00. Fri-at S AS 6 B.SQ. MUST
EMP JAN 16. - . .

.GARRICK- 5 CC 01-836 4601. NO SEX
.PLEASE WERE BRITISH mows here
from Strand Theme -Monday Jan 18.

GLOBE- S CC 4®7 1392. 439 6770-8779.
-Eves 7.30. Mats Wed 2.30. Sat 4J>0.
THE MrrfOTO GIRLS. LAST WEEK.
MUST ENP JAW ,9. r . .

GLOBE. S CC 01-4S7”.1592. 4X9 6770-
6779. PASS THE BUTLER, by Erk Idle.

: Directed Ov Jonathan Lynn. Prow from
an . 20. Opens Jan 28 at 7.0. Mon.
HUP BjO. Frl dr Sat &0 A M5.

COLISEUM, S 836 SJG1- £C :
s iiit i tcu NATIONAL OPffiA T®flT all
; la THSAVIATA. Thun. M. Tog

sciaB aviU. from loan Q" Q8T«

Stevens in .Qfcort y»d saiPvans
pmSSatg. Singers Company.

COMEDY ‘ THEATRE. S CC__ 2S78.

COMEDY or

YEAS SMt Awards

iSK? GEORClNA^HALt. ftiloy

siitmcr at tele Encore plus ttt

£8-50. TN 900 1894.

lor. wriy

'

GREENWICH. S CC Q1-B5B 77 SS. Even-
ings 7.43. Mat Sots 2.30. Sheridan's

. THE SCHOOL SOU SCANDAL.

HAY MARKET THEATRE- ROYAL. 930
a« 3 tz. Direct from Broadway return to
London tor an "•"'W wltti DAVE
ALLEN. E»es Mon-Sat &.O. Due to un-
precedwrted demand ! tor tktan sewon
^tended, bu t musMerehtote Fefa 6-

HER MAJESTY'S- 930 6606-7. CC 930-
Sffis^TGrp tote T79$06t- Ew 7M.
«2| Mats 3J»- FRANK- BINLAY in toe
National Theatre's mujthawmxl whmHio
USSSTuonal Smash Hit AMADEUS bv
pm« SHAFFER- Directed by PETER
HALL. -■

J COCHRANE- 242" TOM..' End) Sail
A 7.30 Children's Music
TSSre WE LEAVING OP UVERfOOL.

jSSfteal-daa’- 20SS, 01-734 89« lor

LYRIC. S CC 437 3986. Grp bkps 379
6051. Evas C.O. Mat Wed 3.0. Sat 5.15.
RICHARD BRIERS. PETER EGAN. Richard
Pearson. Pat Haywood, Alice Krlae la
BERNARD SHAW’S ARMS AMD THE
MAN. AHce Krtee Mast Promising New-
corner SWET AWARDS 19M. Enjoy
prejhow suoper at the Cate Royal 4
tlct tor only £8.95 Inci, Tel Cl -437 9090

LYRIC HAMMERSMITH. S CC 01-741
2311. Eves 7.30. Mats Today, frl
A Sat 2.30. A NIGHT IN
OLD PEKING the story or ALADDIN
by Martin Duncan & David uitz. with
James - Baton. Simon ChMI,' Anita
Dofccon a Bob Goody.

LYRIC STUDIO* Mon to Sat 8pm THE
ASCENT OF WHJUWOMnil.

MAYFAIR. & CC 01-629 3037. Last

week. Daily 10.30 am. 2.00 6 440
SOOTY tS XMAS SHOW.

MAY FAIR THEATRE. 629 3035 (nr.
Green Pk Tube}. Cm B4>. Met Sat 5.0.
Nominated mow promising newcomer In
SWET Awards. JEREMY NICHOLAS In
THREE MEN IN A BOAT by JEROME K.
JEROME. LAST WEEK.

MERMAID TH. BbCkfrfarS. EC4. 01-238
SS*B. CC 01-930 .0791. 01-238 5524.
Partring adjacent. TOM BAKER In
TREASURE ISLAND. Man. Tims. Tnur.
Frl at 34 1. Wed 6 Sat at 2J> & 5.0.

NATIONAL THEATRE. S. 928 2252.

OLIVIER (open stage) . Today. Tomor

10.45 am & 2.15 pm HIAWATHA bv
Michael Bogdanov. Toni Tomor 7.1 £ pm
THE MAYOR OF XALAMEA by

Calderon

LYTTELTON IproscenlDRi stage} Tont
745 Tomor 3.00 (low price mat} 4

7.45 ON THE RA2ZLE by Tom Stoppard.
COTTESLOt (small auditorium— tow
price tka) 1 Ton*L Tomor 7.30 TRUE
WEST bv Sam Shepard.

Excellent cheap seats day of perf all
3 theatres. Also standby 45 mini before
start. Car park. Restaurant 928 2033.
Credit card W«S S28 5933.

NT aUO a t HER MAJESTY’S.

OLD VIC 928 7616-7-8 CC 261 1821 S.
TOAD OF TO AO HALL Mats today, tomor
& Frl 2.30. Sat 2.30 It 6,45. Mon «r Tuec
next 6-45 only. Running until Jan 30.
Good rate s tor weekday Party BooMnai.

MEW LONDON. CC. Drury Lane, WC2.
01-486 0072 or 01-405 1567. Evfli 841.
TdW and sat 34> and 8 JO. The Andrew
Uoyd-Wefaber-T. S. Eliot musical CATS.
1981 SWET AWARDS- BEST MUSICAL OF
THE YEAR. OUTSTANDING CHOREO-
GRAPHY. Add It mol Box Office (at
norma! Theatre prices). The Tkket Centre
next to Wvndham's Theatre. St. Martini
Court. Charing C«« B»«L Group sales
01 ADS 0078 or 01-379 8081. Aoohr
daily to Box Office for returns. Personal
and telephone bookings accepted for
MARCH - JUNE. LATECOMERS NOT
ADMITTED WHILE AUDITORIUM B IN
MOTION. PLEASE BE PROMPT. Barf
open 1 hour prior.

PALACE S CC 01-437 6834 or 839
38 mT Credit .card* HotUon 01-930 0731
M lines) SoecW.praup raw 01. AM M9Z.
HER ROYAL HIGHNESS ■ - - 7 An
affectionate tomedv by ROYCE RYTON &
cTON^f. Monirl 7-45. Mat Wed
2 Afi. S*to lo * B-O. Prices £6.50.
£5410, £390. E24RJ. Book anytime,
day or nlgM tekidhw Sinrtvs and
holidays. Phone Dt -200 0200 (24
hSr^rlce). MAT TODAY 2Jt5- OAPY
raso. BEST SEATS AND TEA AF TER
mow AT KETTNERS <n«xt deer to
pVtecel WITH THE CAST.

PHOENIX THEATRE (Charing Crass Road)
Ol -636 2294-861 1 . Evss B4J. Frl A Sat
6 0 * 941 ONE MO* TIMEI THE GREAT
NEW ORLEANS "MUSICAL ONE MO'
TIME IS A GOOD TIME! Group Sales
6M1 •«« TjtakU 01-200
0200 for mstant conftrnjed CC bags. 24
hSpertdMl available.

PICCADILLY. S 4X7 4506. CC 379 6G65.
Group sales 01-836 3962. 579 6061.
Prestol bkO Key 220 2324 Mon_Frl 7-30-
Mit Wed 3D. Sat 5.30 & 8.15. ROYAL
SHAK6SPEARE COMPANY In Wjlly
Russell's new comedy EDUCATING RITA.
Comedy ol the Year SWET Awards
I960. RSC also at Aldwych -Warehouse.

PRINCE EDWARD. Old Compton 5L Tim
Rice 4 Andrew Lloyd-Webber's EV1TA.
Directed by Harold Prince. Evas 8.00.
Mat Thurs (economy price! and Sat 3D.
Evg pert ends 10.15. S Box Office 437
6877. CC Hotline 439 8499. Group Mies
379 6*61 or .Box Office. For insant
conf. bookings ring Teledata 01-200
0200.

PRINCE OF WALES THEATRE. 930 8661.
Credit card bookings 930 0846. PAUL
DANIELS In IT’S MAGIC Mon-Thors
Evas 7.30. Frl and Sat 5-30 and 8 00.
Group Sales 379 6061. MUST END FEB
6. “UNDERNEATH THE ARCHES'*
Opens Maixh 4. Previews Feb 26.

QUEEN'S. S CC 01-734 1166. Evenings
3-0. Mat Wed 3.0. Sat S.15 and 8.S0.
EDWARD Rax, ROBIN BAILEY, JAMES
GROUT and PRUNELLA SCALES. In
QUARTER MAJ NE'S TERMS. A new play
by SIMON GREY. Directed bv HAROLD
PINTER.

RAYMOND RCVUEBAR. CC 01-734 1693.
Ai 7.00. 9 jO 0 and 11-00 pm. Open
Suns. PAUL RAYMOND presents THE
FESTIVAL OF EROTICA. New Acts. New
.Girls. New ThrU Is. 23rd sensational year.
Fully air conditioned.

ROUND HOUSE. 267 2564. Direct from
San Francisco. PICKLE FAMILY ORCUS.
Evgs 8-0. Mat Fri & Sat 3-0. Mot Weds
Jan 13. 20 at 5.0. No Perf Jan 11, IB.
MUST ENP JAN 23.

ROYAL COURT. 5 CC 01-730 1745.

PEOPLE SHOW CABARET. EvQS 8J1.
ROYAL COURT THEATRE UPSTAIRS.
730 2554. CINDERS. Evgs 7.30. iNot

suitable for dhildrcn.)

ROYAL FESTIVAL HALL. 01-928 3191.
LONDON FESTIVAL BALLET. Until 13
Jan. A nohday treat (or aH the femtly.
Ronald Hrnd's THE NUTCRACKER. Mon-
Sat Eves at 7.30. Mat Sal at 3.00
Ton't Caldcrinl. Ballezza.i

SADLER'S WELLS THEATRE LC1. 01-837
1672-1673-3066. Credit carts 10 am to
6 pm 01-Z7B 0871. Grp sales 91-379
6061. 24 hr Instantly confirmed res.

200 0200. FAMILY MUSICAL by Urn
Rice and Andrew ■Lloyd-Webber.

JOSEPH & THE AMAZING TECHNI-
COLOR DREAM COAT.

Mon to Sat 2.30 * 7.30. Tins Hi 50
to £7. Special rates (or children Mon to
Fri.

New Opera Company — Commeth*. Feb
17, ID, 20 at 7.30 BOOK NOW.

AMPLE FRB PARKING aft SJO PIW.
SAVOY. CC 01-836 SOBS. For Credit
Card bookings Nob 930 0731 (A lines).
9.30-630. Sats 9.30.4.30. Evas 8 DO.
Mat Thurs 3-00. Sat 6.00 and fl.45.
GERALD HARPER. SYLVIA SYM5 , in
FRANCIS DURBRIDGE'S Hit Thriller
HOUSE GUEST with PHILIP STONE.
OVER 250 PERFORMANCES.

ST. MARTIN'S. CC 836 1443. Evg* 8.00.
Tues 246. Saturdays S-OO and 18.00.
Agatha- Chrtstti's THE MOUSETRAP.
World's longest ever run, SOto Year.
SORRY. No reduced ortees dom any
Source but seats bookable from £2-90.

STRAND. CC 01-836 2660-4143. 8.00.
Mats Thurs 300- Sats 5 and 8. Uto
HYSTERICAL YEAR OF .THE. LONGEST-
RUNNING COMEDY IN THE WORLD.
NO SEX PLEASE — WE'RE BRITISH.
2 hours of non-stop laughter. Directed
by Allen Davis. Group sales Box Office
01-379 6061. Transfers to Garrkfc Jan
16.

time and the trouble that this
form needs. Jeremy Isaacs, now-
heading Channel 4. recon-
structed a violent aod oddly
selective version of ihe life of
murderer Jimmy Boyle in A
Sense of Freedom for Scottish
TV: and BEJC2 gave us The Jaii
Dicry of Albie Sachs with a
powerful performance from
Stratford Johns as an Afrikaner
gaoler, and also another short
series of Michael Woods joyous
historical investigations I»
Search Of (Atheist an. Eihelred.
WiUiam the Conaueror).

The regular current affairs
series carried on much as before
with BBC-1 out in front.
Panorama having a good year.
Question Time making itself
compulsory viewing, and
Nationudde changing for ihe
better when Roger Bolton
moved over from Panorama as
editor. Granada's World In
Action stayed on an even keel,
but Thames’s TV Eye too often
induced sleep. The best new
current affairs programme was
The Pursuit Of Power . a series
of shrewdly revealing political
interviews by Robert McKenzie
who, sad to say. died in October.
There will be other political
commentators but McKenzie is
irreplaceable.

It was of course yet another
year in which television’s own
activities frequently made news:
the BBC acquired a new char-
ter, the IBA sacrificed Southern
TV just as it entered the most,
impressive period in its history,
a national Broadcasting Com-
plaints Commission was estab-
ished, and the licence fee went
up to £46. “Primetime,” the
first serious television magazine
for many years, was launched
and, despite occasional substi-
tutions of quantity for quality,
showed tremendous promise.

As ever there was an out-
rageous amount of talk about
the industry, much of it deeply
gloomy. Yet income to com-
mercial television was the
highr.st ever fnet revenue for
November, the latest recorded
month, was 36 per cent up on
1980) and international pro-
gramme awards flooded in as
fast as ever. If British steel,
textiles and shipping were as
healthy as British television
there would be little to worry

Expanding his scheme already
flourishing in Zurich, Dajvid
Freeman has brought a branch
of the “ Opera Factory " to
^London: an experimental opera
ensemble, working under tile
“umbrella " of the English
National Opera, and on shoe-
string budgets, which will seek
“the luxury of being able to
question many of the assumjp- '
tions about opera end its role
in society which a large com-
pany, because of its very size,
can afford neither the time nor
tee money to do." Opera Fac-
tory's new' venue is the Driil
Hall (once' Action Space) in
Chenies Street. Its first produc-
tion is a revival on eight nights
this month — unbelievably, the
first on stage since the premiere
in AJdeburgh nearly 14 years
ago — of Harrison. Birtwistle's
Punch and Judy.

It is a brave gesture: but it
is not a very illuminating one.
Mr Freeman has chosen the one
past-war piece of music-theatre
that is most firmly and
unambiguously conceived in
terms of an entirely static stage
presentation — a work whose
every' ebb and flow of movement
and complex dramatic counter-
point resides, and is expressly
designed to reside, in the words
and music alone. He has added
to this gravely ritualistic frame
such a flurry of stage business,
such an agitation of visual
connection and urgent, sweating
movement, that he shakes the
piece to death like a broken
puopet on the end of a string.

Bid Mr Freeman ever pause
to reflect why it is that Birt-
wistle's Punch and Judy makes
not only such a brilliant, but
also such a complete, effect in
concert performance? Visually,
the work summons no more
than the barest symbolic
reference, all of the tension.

Omar £brahim

the movement, the colour and
contrast is contained, densely
and unrelentingly, in the score.
Brasses bray; percussions snap;
voices sneer, cry out in heart-
break; strings and reeds fizz
with conflict. In the whole of
Punch’s one hour and 45
minutes there is not, even
where a sudden mirage of
lyrical tenderness, vanishing
like smoke, would try to per-
suade us otherwise, a single
moment of relaxation or rest.
And that extraordinary momen-
tum is achieved without the
twitch of a face muscle or a
pointed Anger: when the
minimal stage directions have
been complied with, there is,
quite simply, nothing to add.

So much is added, indeed,

that even Birtwistle's irrepres-
sible score is sometimes over-
whelmed: at crucial moments
the focus is wrenched, time and
again, from tee music to the
scene. The musical perform-
ance given by the Endymion
Ensemble, when one could con-
centrate on it, was very good:
rhythmically strong, crisply
etched, and excellently balanced
by the conductor Howard Wil-
liams. Omar Ebrahim’s sinuous,
punky Punch, Graham Titusfs
Choregos, Hilary Westerns
Judy and Marie Angel's splen-
didly sexy Pretty Polly make
their marks vigorously in Free-
man’s scheme: rfore’s the pity
that it bears so little relation
to Birtwistle's own.

Purcell Room

PLG Young Artists

)

The Park Lane Group’s week
of recitals wedding young per-
formers to 20th-century music
has become one o£ the more
welcome fixtures in the concert
calendar of the early new year.
But the 1982 series began on
Monday in the Purcell Room
less auspiciously than usual.
The blame could be laid only
marginally on the performers,
partly on the debilitating heat
of the hall tover the Christmas
break the air conditioning in
the Purcell Room has become
deranged) and most of ail on
the PLG’s programming. These
series have long had their tics,
but usually in the past they
have still produced lively, well
balanced evenings.

Hie present five concerts
feature the music of Michael
Finnissy and Giles Swayne. Two
of Swayne's pieces were in-
cluded on Monday, a pro-
gramme shared between the
clarinettist Mark van der Wiel,

Arts

accompanied by Robert Lock-
hart, and the violinist Paul
Barritt with the pianist William
Howard. Both are technically
highly accomplished. If Mr
Barritt made the stronger im-
pression on this occasion, Mr
van der Wiel’s cause was hardly
helped by his selection of
works.

Lutoslawski’s Dance Preludes
need more careful pointing and
colouring to give them an
impact and William Alwyn's
clarinet sonata rambles uncon-
vincingly; it never strikes a
balance between declamation
and reflection, and the per-
formance was similarly left in
two minds. Mr van der Wiel
should have seized the chance
to show his worth in Stravin-
sky’s Three Pieces for solo
clarinet (from all accounts he
has played teem . before in
London most memorably) but
his account was subdued and
unsettled; his best form was

paradoxically reserved for
Swayne's Canto, simulating
much fury, but ultimately quite
empty and pointless. %

Paul Barritt’s studied per-
formances were lavished im
music that benefited from such
gemmed precision: Webern’s
miniscule Four Pieces Op. T
and Stravinsky’s Duo Concer-
tante. He was also allotted! a
piece by Giles Swayne— the Duo
for violin and piano, less banal
than the clarinet work, add
sustaining a convincing struc-
tural plan— but he included as
well Judith Weir's Music for
247 strings, tricksy little
miniatures (10 of them, lasting !
around a minute each) largely y
made up of rhythmic unisons
between violin and piano and
belatedly introducing some dis-
junctions. They are charming
in their own way, without any
claims to profundity or tech-
nical sophistication.

ANDREW CLEMENTS

The Butler Did It b y B . a. young

The four potential heirs to
the fortune of an international
baJilet star spend tile might In
his haunted bouse. Farque Hall.
They ure called Major Catas-
trophe, Miss Take, Ivor Sma Bi-
piece, Ivanta Havalot, Egor
Blarney, and Rick Slick. There
is another uucredited character
in tee company, a ghost As the
play is a whodunit, the intru-
sion of an uncredited character,

even a ghost, can hardly be
called fair play. Nor is it made
more attractive by having every
(teath, dr apparent death,
marked with the appearance on
the stage of a jock-strap. Rut
as the play is nibbiirtt from
beginning to end, this is as
acceptable as anything rise.

Richard and Laura Beaumont
wrote the script and the lyrics.

They also take two of the parts.
Bob Selims wrote the tunes.
Maurice Lane is the director.
The only acting that looks like
anything but rag week at a bad
university is by Billy Hartman
as a private detective. At the
end of Act 1 be says: “ Should
anyone wish to leave, now is
the time to do so."' The tempta-
tion was almost irresistible.

THEATRES ARE CONTINUED ON
PAGE 9

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914

F.T. CROSSWORD PUZZLE No. 4,764

ACROSS

1 Equip the healthy abroad
(3, 3)

4 The plot of a play that ends
in a South American city
(S)

10 The island is possibly a
danger (7)

11 Conveyance causing disturb-
ance after tea (7)

12 Got up as a flower-girl (J)

13 Government policies which

some callers have to share
<5, 5) , _

13 Limited arrival m the
present time (6)

IS “Welcome, — glooms! Con-
genial horrors, hail!"
(Thomson) (7)

Solution to Pozxle No. 4.763

E • 0 □ •• ' ,;; 'u

annaranoffl ■: eheibqe

20 Joint wager containing an
element of danger (7)

21 Eventually familiar (2, 4)

24 Bonnet for the horsewoman

gives anchorage to the

admiral (6-4)

26 A doctor finds Kay in a
frenzy (4)

28 The storm in colour was

entertaining (7)

29 A priest is found in Ihe
money (7)

30 The price we had to pay for
those that were coloured
( 8 )

31 Good chaps should not be
dropped (6)

DOWN

1 Symbol found around in a

statuette (8)

2 Ready keeper (9)

3 Part of the natural moun-
tain range 14)

5 Not a thoroughbred aperitif
( 8 ).

6 Almost exhausted on the
verge of completion (6, 4)

7 Sound precipitation as a
ruile (5)

8 Dull, certainly, but has an
angle (6)

9 A formidable woman which-
ever way you look at it (5)

14 Uniformly described as
members of the Senior Ser-

vice (4, 2, 4)

17 Pirnling suggestion of
musical variations (9)

18 Orderly resident alien con-
cerned about a* trough (8)

19 “ Like a puffed and —
libertine” (Hamlet) 18)

22 Post-diluvian landing-place
16)

23 Organised body sot quite
dead (5)

25 Hidden canine energy (5)
27 Just, not rough when, you
find the way (4)

’J

Financial nines Wednesday Jahraiy; 6 1982-

FINANCIALUMES

BRACKEN HOUSE;. CANNON STREET LONDON EC4P4SY
Telegrams: Rnantimo, London PS4. Telex: 6954871

Telephone: 01-2488000 ■

Wednesday January 6 1982

Papandreou’s

curate’s egg

TEE MOST that can be said
for Dr Andreas Papandreou's
industrial programme for
Greece is that it is well iatea-
: tinned in parts and may be a
smokescreen behind which he
intends to retreat from some
of his more extreme past P° s ^'
turns. But it is also imprecise
in detail, fraught with danger
for an already poor investment
climate, and largely irrelevant
to some of the country’s chief
economic problems.

The attack on tax evasion
which the Greek Prime Minister
promised in his television
speech on Sunday is overdue
in a country where this form
of national sport costs the
Government about a third of the
revenues it is entitled to.

Inefficiency

Dr Papandreou also showed
what could prove to be welcome
evidence <tf realism in his
' approach to the problem of
large industrial enterprises in
trouble because they owe too
much to the banks. Those found
not to be viable would be
wound-up. But Dr Papandreou
created no clarity about the
“socio-economic” criteria that
would be applied in deciding
which enterprises may survive.

• That phrase opens the door
wide to considerations of social
expediency winch conflict with
- and eventually will succumb to
-market forces.

Those enterprises chosen for
survival will come under the
aegis of a Government agency
especially set up for the pur-
pose. Given the notorious ineffi-
ciency of the Greek bureaucracy
one imav doubt whether such an
agency really will perform
better than present manage-
ments, even given their evident
shortcomings.

The proposal falls short of
~ Twtaonntowiio n, ranking instead
as “ socialisation ” in Dr
' Papandreou ’s vocabulary. In
several key sectors of industry
-"socialisation” is to take the
form of the appointment of
supervisory councils represent-
ing labour, management, the
government and local authori-
ties. These councils are to
easiae that corporate policy and
planning fit in with the overall
industrial aims of lbe govern-
ment in Athens.

Whereas a case can be made
oat for creating .some such
channels of communications,
either institutional or informal,
the dangers are self-evident, and

especially so in Greece where
nepotism is a way of life. More-
over the concept reveals a con-
tradiction between Dr Papan-
dreou’s proclaimed objectives.
On the one hand be wants a
greater degree of decentralisa-
tion; on the other he is creat-
ing institutions, such as the
agency to supervise those lame
ducks worth saving, whlata. will
increase the direct influence of
the central government.

Dr Papandxeoa’s proposals
barely address two fundamental
problems of the Greek economy:
the over-regulation of the bank-
ing s y stem, and the extreme
fragmentation of industry. The
country h afi almost 130,000
industrial enterprises employ-
ing, on average, 5.5 persons
each. A large proportion will
not survive as Greek tariffs and
especially non-tariff barriers
against DEC industrial goods
are eliminated.

Besides a coosaSdation of its
industrial structures. Greece
needs a steady flow of foreign
(Erect investment to compen-
sate for a chro nic deficit on
current external account. Dr
Papandreou said that foreign
investments would be welcome,
provided they were ■ profitable
to the Greek economy. Be also
foreshadowed controls to pre-
vent transfer pricing, a device
by which the foreign investor
can attempt to reduce his tax
bill in Greece.

Incentives

There may be SHfflle to quarrel
with the principles Involved,
but given the interventionist
tenor of Dtr Papandreou^
speech, their application may
further deter foreign investors.
Uncertainties do not end there.
Dr Ranaodreou's failure to
clarify how he witoes to alter
the terms of Greek member-
ship in the EEC caxmot but
worsen the investment cEraate
for both foreigners and Greeks.

Given the backwardness of
the Greek economy there is a
case for special measures and
incentives to strengthen in-
dustry. But an attempt to over-
ride the market and give
bureaucracy more powers of
intervention is cot the right
way. It is problematic enough
in France which boasts an
industrially skilled civil service.
In Greece with an already
bloated bureaucracy, Dr Papan-
dreou’s approach is fraught
with economic as well as
political dangers.

Manipulating the
money supply

THE CITY seems to have
found some cause for relief in
the modest quarter-point rise in
the money supply reported for
the three weeks of banking
December. This makes some
market sense. Guesswork,
based on the continued aggres-
sive drive of the clearing banks
into new markets, bad suggested
a fax higher figure: There is
Ettie comfort, however, for any
.remaining adherents of what a
senior director of the Bank of
England has called the
“ theology ” of monetarism. The
-figure is grossly deceptive.

Explanation

The oddity can most readily
be seen in the very large gap
between the expansion of bank
len ding — about £l}bn — and the
moth more modest expansion of
bank , deposits, about £300m.
These figures can readily
diverge for a time when taxes
are being collected, or Govern-
ment stock has been sold in
large amounts, but when they do
so month after month, the
-exphmaition is no longer routine.

■ After all, monetarists are
inclined to regard money and
crectit as two sides of the same
coin, and ft is a very different
' coin which has two sides of
' quite different size.

' The explanation is as strange
■ as one might wish. About half
the growth of bank lending —
. and more than half in Novem-
ber — has been financed directly
by the Bank of England, which
bought another £600m worth of
commercial bills. It now seems
likely that over the financial
year as a whole the Bank will
he a commercial lender .to the
'tune of some £4bn. Aggressive
lending is an odd way to
operate a credit squeeze.

Statistically, this makes a kind
of sense. Bank lending can be
financed in three ways' — from
the accumulated profits of the
banks, from new bank deposits,
-which are “ money,” or from
the sale of other assets of the
banking system. For. years the
banks have been financing part
of their commercial expansion
by selling tbeir holding of
' Government securities.

Recently, commensal hank
holdings of government paper
have been run down to an
operational minimum. For the
time being, the Issue depart-
ment of the Bank of England
has taken over the running.
' selling its holdings of Govern-

paper ti

rial lending. Again, lending
can be financed without adding
to bank deposits, producing
relatively orderiy figures for
the “money supply.

What is being achieved in
reality? A seismograph might
detect a considerable disturb-
ance near any cemetery con-
joining the remains . of the
money disciplinarians of the
19th century, who demanded
grid backing for the note issue.
At the present rate of
“progress” the note issue will
within two years be backed
entirely by commercial IOIJs.

Indeed, tins fact suggests that
a new grave is being dug. Since
the authorities cannot buy com-
mercial bills without limit —
unless some new institution is
invented to hold them, a kind of
official money market mutual
fund — those in charge must be
presumed to hope that they are
conducting the last rites of
monetary targetry. One final set
of acceptable figures, and we
can turn our attention, to some-
thing else, be it the exchange

rate or the monetary base, both
of which have been performing
in a satisfactory way.

Control

This may seem a cynical con-
clusion, but it is in fact
sensible one. . It is highly
doubtful whether any workable
regime can .be based on the
attempt to control a broad
measure of the money supply—
the attempt is something of
British peculiarity. It has be-'
come donbly doubtful whether
it makes any sense to control
domestic sterling liquidity since
exchange controls have been
abolished; private foreign cur-
rency ho lding ; have been grow
mg apace.

What is certain is that __
cannot make sense to try at’ the
same time to control the broad
money supply — the domestic
sterling liabilities of the bank-
ing system— and to refuse to
subject the banking system
itself to any real constraint, and
that in essence is the story of
the last decade of monetary
control in the UK

As the Treasury Committee
recently pointed out, official
embarrassment about monetary
policy is now so evident that
the nature of the policy itself
has become a mystery. It is a
mystery which must be resolved
before confidence can revive.

WORLD AIRCRAFT MAKERS

Turbulent times ahead

By Michael Donne, Aerospace Correspondent

T HE OUTLOOK for the
world’s major jet airliner
manufacturers in 1982 is
bleak. With losses estimated at
over $lbn in 1981, and com-
parable. if not worse* figures
being forecast for the coming
year, the airlines are in no
mood to go eqiiipinentiunting-
Most manufacturers are still
confident that eventually there
vill have to be a substantial
upsurge in procurement, as air-
lines, facing soaring costs or an
kinds, seek to 'acquire new-
generation aircraft with sub-
stantially improved
capacities and greater toei
efficiency. Some airlines have
already begun to buy such air-
craft but on nothing Lke the
scale that most manufacmrers
expect They slffl tbtak the
world’s airlines wifi SP* 1 * 1 |°m®
$126bn by 1992 on about 5,000
new-generation jets of all kinds.

The severe recession to the
world air transport industry
over the past year has already
resulted in some traumatic
changes among the major manu-
facturers. The result is that
Airbus Industrie of Europe has
now become the world’s second
biggest jet airliner
turer after Boeing of the u^,
especially for wide-bodied jets.

rest of the decade watt
see yet more battles particularly
for a slice of the 150-seat sbort-
to-medium range aircraft mar-,
ket Three major groups of
manufacturers plan to buaid
their own versions of a snort-to-
mettium range 150oeater m the
next few years. There cwtid be
a market for as many as 2,000
of this land of aeroplane by the
end of the century, worth well
over $29bn including spares.

The next few years may also
see far greater involvement by
the Japanese. Western aircraft
makers have been wooing toe
Japanese hard and there is no
doubt that they, for thmr part,
are interested in participating
in the 150-seat project.

The accompanying table shows
how each of the major jet air-
liner builders has performed
tins year. The poor showing by
Lockheed (five new orders, with
three cancetiatrons) has been
the prime reason for that com-
pany's - decision to end TriStar
production from 1981 McDon-
nell Douglas has done better,
but stiH not as well as it had
hoped. Airbus has continued to
'make rapid progress, especially
if the conditional order from
Air France for 50 (25 firm and
25 options) for the proposed
new A-320 150seater is in-
cluded. This depends on that
aircraft going ahead to toll
development and production,
Boeing remains top of the
league, with orders for 206 air-
liners this year (well down on
last year’s 324, but Still yield-
ing a welcome ?6bn worth of
new business).

The big battles in the world
airliner market place are now
being fought between Boeing
and Airbus Industrie, with the
Boeing 767 ranged against the
Airbus A-SOO, and the Boeing

757 against the Airbus A-S10,
all to the short-t ©-medium
range market

Boeing remains in a class of
its own with the big 747
Jumbo, and is likely to have
this market all to itself for as
far ahead as anyone can fore-
see. Competition from the
Lockheed TriStar is now virtu-
ally over, while McDonnell
Douglas's DC-10 is only just
holding its own.

In. production terms. Airbus
Industrie is expanding fast
raising its output from four
aircraft a month to reach eight
a month by 1984. Boeing has
cut back output of 747s to meet

Need for an aircraft
in short-to-medium
range category

tighter market conditions,
while demand for the medium-
range 727 is shrinking fast
The bigger, new-generation 757s
and 767s are only just begin-
ning to emerge, and some new
orders for these are expected
during 1982.

Boeing is also boosting pro-
duction of its small 737 short-
range jet A new, improved
Series 300 model is under
development and production is
running at 10 aircraft a month,
making the 737 currently the
world’s best-selling jetliner.

Beyond all these models lies
the short-to-medium range 150-
sea ter, involving three major
groups— Airbus, with the A-320,
Boeing with the **7 Dash 7”
and McDonnell Douglas/Fokker
with the MDF-100. But plans

for all these models, which
have been floating around the
world’s aerospace and airline
industries for some time, are
maturing only slowly and the
current airline recession
appears to have pushed back
the prospective in-service date
of any of them to 1986 or 1987,
or even perhaps 1988.

The 150-seater twin-engined
airliner fills the slowly emerg-
ing need for an aircraft in the
short-to-medium range category
between the 737-300 of about
138 seats, and the larger Boeing
757 of 180 to 200 seats. The
most immediate pressure for
it is coming from a handful of
U.S. airlines, such as Delta.
Eastern and United, each of
whom need about 100 aircraft.

Boeing's original plan to turn
the gristin g three-engined 727
into a twin-engined airliner
appears to be fading. But the
company is still reluctant to get
into this new venture too soon,
largely because it is already
spending more than $2.5bn on
developing the 757, 767 and
737-300, and cannot afford to
launch another new programme
just yet

Of all three contenders. Air-
bus appears to be pushing its
A-320 hardest, and stiH main-
tains it can get it into service
by 1986. McDonnell Douglas/
Fokker is prepared to match
that, but believes 1987 to be
more realistic. Boeing believes
1988 to be a more sensible tar-
get, in the light of current air-
line financial difficulties and
uncertainties about the rate of
traffic growth once the
recession ends— it feels the
rate may be slower than many
analysts now believe likely,
about 4 per cent rather than the

popularly believed 5 to 7 per
cent a year.

Boeing’s reluctance to
become enmeshed in another
new airliner programme does
not mean, however, that it will
not compete if it has to. It
already has a big team involved
on tiie “7 Dash 7” and if it
enters the market it will do bo
determined to win the lion’s
share of it

None of the manufacturers
involved are without their
problems. Ail need cash — each
of the planned 150-seaters will
cost up to $2bn to develop (or
about the same as the existing
A-300, A-310 Airbuses). The
manufacturers are likely to
have some difficulties to raising
the money.

Airbus will certainly have to
get cash for the A-320 from the
French, West German and
British Governments. The
French Government has
already pledged support in
principle, but the British and
West Germans are more
cautious, waiting for firm pro-
posals from their aerospace in-
dustries on cost and work-
sharing before taking decisions.
These plans are now being
worked out and win be pre-
sented to the governments in
the first half of 1982.

So far as The MDF-100 is con-
cerned, the Dutch Government
has pledged support for Fokker,
bid; McDonnril Douglas will
still have to find its share of
the money from its own
resources— as will Boeing for
the “7 Dash 7."

This need for cash is one
major reason why all three
groups are wooing the Japanese
aerospace industry for support
in the 150rseater concept. Japan

is anxious to expand its own
aerospace industry, and sees the
150-seater as one .good way in
which to do it ..

Japan is prepared to spend
substantial sums on its share of
a 150-seater venture, provided
it can gain new advanced tech-
nological knowledge in return.
This is why toe Japanese indus-
try is already undertaking 15
per cent of the Boeing 767, and
would like perhaps as much as
20 to 25 per cent of any 150-
seater. But while all three
western manufacturers are
wooing the Japanese, the latter
are in no hurry, and would like
to have much firmer detailed

Three candidates
appear to be
in the field

the <weraU : • validity of the
design concept) due to sub on
test-heds at Derby, and . at
T.^ik awajhna-Baihna . . Heavy
IndustriestoTokyonext month.

,£at engine devetopment is as
costly as airframe . development
—about 911m far o single new
power-plant Became of tbs,
General Electric of the VS. has
derided sot to develop another
new engine of its. own for the .
150-seater, ^preferring to go
along with- its osfistuig invest-
ment in the CFM-56 with -
Snecma. Itott and Whitney
meanwhile has been, discussing
the possibility of joining with
RoSfi-Royce and -the Japanese
on the RJ-500.

Rolls-Royce and the Japanese
are confident that if only they ,

gnaiwl-afa the pQfle of

devetofaxteht - on the BJ-500,
they baye an . excellent rim nee .
of being fte ‘‘launching" engine
to more than one of the pros-
pective airframes. As with the
A-320. airframe, however, the
UK Government win have to
make a substantial investment
to toe full development of the
BJ-500, as' will the Japanese
G ove rnment, and they wfH want
to be assured that toe market is
big enough, to make that invest*
merit profitable.

AH this expiates why the
cussams now under way on both --
the airframes and engines tor
the 130-seater axe so complex,
and wby they axe so stow to
mature- into firm programmes
backed -by airline orders. No
one doubts that : such pro. *.
grammes ' will eventually .
emerge. The major uncertainty »
is over who, if anyone, wiH drop •
out of the race because they
cannot finance toe heavy capital .
investment necessary.

Beyond even the 150-seater,
there remain some substantial
further ii r v a d ments in a wide
range of other new dvil aircraft
for the long-term future. In the
UK, British Aerospace is spend-
ing well over £250® on its BAe
146 fotavengmed feederitiner,
with only 13 firm orders and 12
Options won so far, although
toe eventual market could run
to several hundred aircraft

proposals on costs and work-
sharing before making any
commitments. Even so, a
decision is likely to come some
time in 1982. .

All toe prospective manufac-
turers of the 150-seater agree
that the primary “ pacing
factor” will be the availability
of a suitable engine. So far,
three candidates appear to be
in toe field— the joint Rolls-
Royce/ Japanese ’ftf-500, a new
version of the Franco-U.S.'
(Snecma-General Electric)
CFM-56, and a derivative of the
Pratt and Whitney (U.S.)
PW-20S7 called PW-STF-633.
AH these power-plants will need
to be of around 25,000 lb thrust.

So' far, the RJ-500 appears to
be at least two years ahead,
wito “demonstrators” (proving

For aM that the immediate
future seems grim, therefore,
for toe longer term toe ootiook
is much brighter. The uncer-
tain factor i* jest, when the
improvement m toe arri toes’
and. toe manufacturers’ fortunes
will occur, Some analysts have
suggested that for the airlines
better times may begin to
emerge :by - tog end :'-ct -this
year. But for toe most past, the
a-irHwB and toe manufacturers
are resigned to toe fact toot ft
may now be 1983, or even 1984,
before they can expect toe
worat to have passed.

la toe ’ meantime, the
objective wfif be survival, and
the battles for those few air-
liner orders anticipated in toe
coming year wfil be foogrt erat
more bitterly than those of toe
past 12 months. >

Men & Matters

Ward of
the courts

“ I don’t believe in putting
rabbits out of a hat” said
Trident Television chairman
Ward Thomas yesterday as he
set the stage for his attempt to
retain toe licences of toe /former
Playboy casinos. “You can’t
go along wito a lot of new
names and expect the courts
just to say we’re all jolly good
chaps.”

And having already produced
Peter Nievens, the former
Deputy Assistant Commissioner
at Scotland Yard — when be
first met at a preview of a
Yorkshire TV programme on
the police — Thomas gave the
extraordinary general meeting
only one. new name to conjure
with: one-time Ladbroke

casino manager Gerald Kashi er.

Neither Sir Gordon White nor
Charles Sweeney, the men who
helped set up Trident’s £14.6m
deal with Playboy in return
for a controversial 5 per cent
of the new operation, will play
any part in its management.
“Not at all," said Thomas
firmly.

But Jade Gill, the former
ACC managing director, may
still be one of the names to
be placked from Thomas’s hat
at a suitable moment.

Gill, who has already been
adv^teg Trident oh its venture,
was not present at yesterday’s
meeting— with the row over his
golden handshake coming up on
Friday, one extraordinary meet-
ing a week is probably enough
for any man.

Despite some Initial rumbl-
ings over the Playboy purchase,
however, Thomas yesterday saw
it approved in a little over four,
'minutes. No voices and only'
two hands were raised against
it’

“He says that on no account
are we to keep any money in
the safe!”

suggested I went into a service
industry."

She started off wito two
secretarial agencies and then
incorporated a nursing agency.
After a request from Bahrain
for a nanny, she put an ad in
the newspapers — and was
promptly - inundated wito
requests from and for nannies.
“ Overnight I was in the nanny
business." she says.

She gave up her other activi-
ties and founded Albemarle
Nannies in 1976, charging
clients 17,5 pear cent of toe
nanny’s anual salary as a hiring

With 1,000 well-qualified
women on its boohs, Albemarle
is now the largest specialist
agency of its kind in Europe.
British nannies are in a class
of their own, she says. She had
one herself and employed them
for' her own children.

against the use of businessman
as a synonym for boss; bat has
no alternative for postman,
though post-person sounds mar-
vellously metaphysical.

In the end, I ask myself, how-
ever, wH Westminster's rate-
payers get a better service if
I write (inaccurately) about
their refuse collectors instead
of their dustmen?

Export disorder

Woe men

“and you feel a tittle cowed
don’t you."

Kids’ corner

One of the dissenters, Ann
Thomas (no relation) said she
was one of Trident’s founding
shareholders and had been los-
ing confidence in its manage-
ment- for some time. She bad
a long list of questions to put
— but didn’t. “ It seemed rather
a sexist gathering,” she said.

One British export business
that seems to be thriving is the
servicing of overseas house-
holds with a traditional nanny.

Some 18 royal families
around the world and hundreds
more in the international
uppercrust now take 75 per
cent of the nannies placed by
Sheila Davis’s Bond Street
agency in London.

The last two who have just
left her books did so for
salaries of around £32,500 a
year in the Middle East-
making them, toe believes, the
highest-paid members of their
profession anywhere.

Given the problems of
Britain’s more conventional
exporters, the advice Davis got
from her husband some 14 years
ago has stood her in good stead.

“My children were growing
up” toe says, “and I decided
I wanted to go into business. I
thought of a boutique, but my
husband warned me against a
stock-carrying business and

In the title of this column. I
fear, men may find toeir last
nominal refuge. For while toe
neatness of its alliteration— -and.
its all-embracing nature — may
ensure its survival, toe feminist
pressures to erase toe very word
“man” from toe English lan-
guage grow.

The National Union of Journa-
lists has now joined toe move-
ment by sending an “ Equality
Style Guide ” to newsmen —
sorry, reporters— like me who
persist in writing about chair-
men rather than chairpersons.

(Does Jean Marag Margaret
TyrreH really feel any the less
for being listed for the past
22 years as chairman of Sirdar,
the Yorkshire wool company, in
her annual reports?)

Alexander ftope would clearly
find it difficult today to publish
his “Essay on Man.” For toe
NUJ exhorts me to wear syn-
thetic fabrics not numma/fc-
refer to workforce instead of
manpower: ask the time of a
police officer not a p Plac eman,
and seek the opinions of the
average citizen instead of the
nKm-dn-tbe^treet

The guide warns reasonably

Some distinctly disgruntled
comment from the Japanese
Cabinet yesterday about the
behaviour of some of that
country’s export salesmen,
hitherto heroes of the economic
miracle.

Finance Minister fiOchio
Watanabe complained bitterly
that while the Government was
“ doing all it can ” to resolve its
economic arguments with other
countries, the overseas staff of
Japanese trading companies w as
not cooperating.

“They engage in drunken
revelry night after night at
night clubs, creating a bad
impression,” Watanabe alleged.
They made do contributions to
churches or broader humani-
tarian issues usch as the prob-
lem of refugees. . .

Prime Minister Zenko Suzuki
agreed that overseas staff would
have to pay “fall attention ” in
future to ensuring they did not
create “moral economic fric-
tion.”

Other Ministers suggested that
the companies’ code of conduct
might be revised— or, more
threateningly, that expense
accounts abroad might be taxed.

Asset stripping

A colleague In Aberdeen was
passing a friend's house, and
happened to glance in through
the window. Bis friend was
hard at work stripping the wall-
paper. “Redecorating ■ are
you? ” asked my colleague.
“ No, we’re moving boose”

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" '> Times Wednesday January 6 1982

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i3

TRAIN OF THE FUTURE

lilting into trouble

By Lynton McLain, Transport Correspondent

BRITISH RABjfi.nmch vaunted .
155 miles an hour advanced
jpassenger train , was to have
Started ttoiafpg 'again with
passeogers aM 1 Monday after
its disastwus.pnbUe' debat last
ponth, 'B.tit jjhat.date has cow
oeen po^poned. v ' .V ■..

The further '■' delay ■!$ “ to
ensure - - .that., we have the
reliabUifewe - ar*' looking for”
BR said segterday-The ahn now
is 1» -run i “ simulated passen-
ger semee’’--uoraiai semee
without - .-the passengers— hi
mid-February as a re-run'of the
trials scrapped by British Rail
just beifQ^.Chti9tizta8.. ‘ ■

• Tie ' -idea ’ ■ of- ■ coordinated
project 1 : management— common
in other high-technology, high-
risk, high-favestment projects —
appears. .. to;, have, . been either
absent' "from the APT pro-
gramme or to have become
submerged as the scheme went
ahead. -The APT has also
suffered from internal politics
at British KsftI and intermittent
union problems ..

The; mechanical failures of
the APT. are now. so : , numerous
that pasengers; could be for-
given for re-naming the train
the Accident-Prone Train.

' The failures' have included: ' 1
ft* The tilt mechanism, the most
novel .mechanical feature on

clearly showing the symptoms
of -: ; under-development which
have become the main hallmark
of the whole ^project. For the
most- recent problems have all
occurred after the train has
been; tested and run for over
100,000 miles, almost half-way
to the . moon. .

The APT had • its origins in
the 1960s when British Rail first

the train; This worked well on U ? e ide * °* using tilting
the T - nriirinal experimental technology_ for its high-speed

original experimental
APT-E, now in a museum at
York. But BR changed-.-, ffie
design for the so-called pre-

trains of the future.

Since then £373ra has been
spent by BR on die APT project.

production prototype trains, £S^m mi the research and
only -to find in June 1979 on experimental stage and £29. lm
its first" runs that it did" not un .tiie prototype stage to date,
.work as planned. Changes were This amounts to about £2.66m a
introduced which in turn led to- year which last year represented
the need Jo.r; further, previously jiist;-1.19 per. enct of BR’s
untried; .systems. ' The latest total: investment of £223m.
plan is "to re-introduce a -tilt 1 Since -the pre-Christmas trials,
system; ... more akin to tiie . • the. .Transport Department has

origmaL
• The conventional

brakes

revised the total so far spent by
BR on the APT. to a new total

have also . f aile d on occasion- to the end of 1981 of £43 .4m.

No solution :is in sight -to this
problem.:.'

• Last month the brakes came
on without warning because
jmoisture -m the compressed air
froze.- .

. • A so far. unexplamed power
cut to one- of the main -drive

By contrast French Railways
have spent £800m on the new
TGV 180 miles an hour pas-
senger train project. This is
based on new, double track
running 257 miles from Paris to
Lyon. The final section of this
will open in 1983, when the APT

motors: last month stopped the will probably have just finished
tilt', mechanism ~ and .swiftly its 12 months of passenger
brought the carriages upright,; trials. ,
with spectacular results. Cups, ’ The tilt system means that the

piates and food defied gravity, 1 APT should be able to take
flew through the.'air and caused- corners between 20 and 40 per
dismay -among bewildered, fare- cent faster than conventional
paying passengers. ’• ^trains; It also seeds only a thard

In view of all these problems, .of the power per seat of the
it is still .not dear why British TCV;; its : cost per seat is
Rail 1 chose to accept feres from £55.250. just over half tiie cost
passengert. - The traln is still of. a seat -on the. TGV and at

£3.1m for a complete APT, the
capital cost of a train set is
£lm less than for a TGV. These
advantages stem in large part
from the novel use of light-
weight extruded al umini um on
the pre-production prototype
APTs in a technique developed
by BR and Alusuisse for the
APT.

Back in 1967, When BR first
discussed the tilt. Britain was
already in danger of getting left
behind by other countries which
already had high speed trains.
The Shinkansen high speed
“ Bullet *' train had been operat-
ing in Japan for almost three
years. Two years later the
government authorised the
APT-E.

This “ served its purpose.” It
proved chat the novel aspects of
the train could work. There was
a new suspension to overcome
the problem that high speed
coaches or wagons can literally
shake themselves off the track
and there were new brakes to
cope with the high speeds. There
was also the tilt and the
aluminium body.

But this experimental train
was never intended to carry
passengers and wa$ altogether a
different animal from the
electric APTs now struggling to
enter fault-free commercial
service. Nor was it ever used
by BR as a prototype to iron-out
design and production problems.
British Rail Engineering at
Derby, which built the train,
was expected to use the experi-
ence to learn from scratch the
expensive techniques of “air-
craft technology.”

For ‘example close riveting

techniques. designed for
strength and smoothness on
aircraft, were used on the
APT-E by workers more used
to welding hefty steel structures
to greater tolerances than were
acceptable with aerospace tech-
niques. But these techniques,
so expensive to BR to adopt,
were used for just one train.

Meanwhile the abundance of
new ideas an the experimental
APT -caused delays with the
test programme and stretched
the resources of BR’s research
and engineering workers. The
APT-E did not make its first
run until five years later in
July 1972.

Almost immediately the rail
unions “ blacked " the train.
The .unions wanted two driving
seats; British Rail wanted one
seat. The unions won, but the
dispute cost BR a full year in
its test programme.

But the APT-P (for pre-pro-
duction prototype) was to be a
very different train from the
experimental version. Gone was
the advanced aerospace con-
struction technique and in its
place the search started for the
“real novelty” of using very
wide, very long aluminium
extrusions automatically welded
together, a technique never
before used by BR. Dr David
Boocock, the Inter-City design
engineer accepts that this pro-
duction process started off as
“completely unproven,”

Under the burden of a com-
pletely new production pro-
cess, a new power source —
electric instead of gas turbine
— and design changes with the
tilt system, British Rati found
it impossible to meet its own

targets. The first complete train
was to have been delivered by
BR Engineering three years
after the go-ahead, by mid-1977.
Instead, only the first power
car was delivered.

BR now blames industrial
disputes, incomes policy and
“ people using APT as a lever ”
for their own ends. The first
passenger coaches were started
in June 1976, but were de-
livered a year later than
planned In June 197$.

This was five years after BR
had taken the decision to build
a prototype high speed tilting
train, but this had not run, not
even slowly. The first complete
APT left Derby works for the
Glasgow APT depot in
February 1979, but four months
was to pass before the train
started its first experimental
run. This was 12 years after
BR had first thought of bunJd-
ing a tilting train.

The failure -to evolve produc-
tion techniques for the APT led
directly to the de-railmerst of
the APT in April last year
when an axle came apart. The
bolts on the axle had not been
tightened properly.

By September last year the
train was back on the rails,
only <to find (that two more pro-
blems had emerged. The con-
ventional brakes on ithe APT
dragged while the train
operated and BR was also con-
cerned at what might happen if
the tilt mechanism failed. A
tiK failure mechanism was
installed about 18 months after
the first test runs.

Dr Boocock insists that most
of the APT’S problems have not
concerned the tilt mechanism or
any fundamental problems.
They have been more to do with
"nuts-and-bolts” problems.

This type of problem is likely
to continue. Further design
changes, same of them sub-
stantial beyond the current
resources of British Rail, and
subsequent testing, will be made
to the full production APTs.

BR wants the Government to
give the go-ahead for a £2$6m
programme for a fleet of 60
.APTs and associated depot
installations. But given BRs
record in managing the current
£43.4m programme, the 15 years
it took from conception to last
month’s unsuccessful passenger
runs, and BR’s own admissions
of its inability to provide the
resources needed, the Govern-
ment wiU take a hard look at
BR’s investment submission.

The World Recession

1 Why oil prices must

remain high

BRITAIN is not alone in suffer-
ing the effects of economic
recession. Since 1973, growth in
all member-countries of the
European Community has
slowed considerably -and unem-
ployment problems have become
acute almost everywhere. Over
8 per cent of the EEC labour
force is now unemployed and by
1985 the figure could well reach
12 per cent if present policies
continue.

The recession is widely
blamed on internal weaknesses,
such as persistent inflation,
faulty government policies, low
productivity growth and inade-
quate structural change. It is to
remedy these supposed prob-
lems that most member govern-
ments are at present attempting
to cut back public spending and
borrowing. The dual aim is to
curb inflation by financial
restraint and to improve the
international competitiveness
of European industries by giv-
ing freer rein to market forces.

Our study of the European
Community’s economic prob-
lems and -prospects* leads us to
question this diagnosis and to
reject as wholly inappropriate
the policy prescriptions which
arise from it

In the first place, the slow-
down in economic growth was
too sudden and uniform across
EEC countries to have been
plausibly caused by inflation or
supply-side rigidities. Second,
it is bard to say that Europe’s
industries are in general uncom-
petitive when they still domin-
ate world markets and when
import penetration from the
rest of the world is still
negligible.

The record trade deficits
experienced by all EEC coun-
tries except the UK are due
largely to depressed markets in
oil-importing countries all over
the world rather than to a
failure of European industries
to hold on to market shares. *

Third, the internal problems
identified as causes of the reces-
sion — the fall in productivity
growth and the deterioration of
government finances — are in
reality largely consequences.

In our view, the recession was
initiated and has been sustained
by external rather than internal
forces in the form of a world-
wide scarcity of energy. This has
held bade economic growth in
Europe and the rest of the
world through increases in the
price of oil. These have led
governments in oil-importing
countries -to deflate domestic

demand, so prevenltin g a ny
physical energy constraint
materi alising . The present oil
glut-end the downward drift In
prices— is entirely due to the
low level of economic activity
which these policies have
caused and would quickly dis-
appear df growth were resumed.

Although Opec is a marginal
supplier of energy to the non-
Commumsit worid, it is Opec
production which in the past
has expanded and provided the
extra fuel needed for world
economic growth. Between 1965
and 1973 Middle East oil pro-
duction grew by 13 per cent a
year to enable the world
economy to grow by 5 per cent

Iain Begg, Francis
Cripps and Terry Ward
of Cambridge
University argue that
governments have
adopted the wrong
policies to cure the
recession. .

a yeai^-a two and a half fold
increase in production in just
eight years

If economic growth had con-
tinued at its former rate, and
given -the changes in energy
saving and energy supply else-
where which actually occurred.
Middle East oil exports would
have had to double again by
1980 and again, no doubt, well
before 1990. This trend had to
stop sooner or later.

So far, Opec bos twice called
a bait and put its price up —
the timing influenced as much
by political events as by
economic considerations. The
price, however, has still not
proved high enough to stimulate
energy saving and expansion of
alternative sources of supply at
the rate required to permit
worid economic growth at its
former rate, though it has been
high enough to cause severe
financial hardship for many low-
income countries.

Although energy supply and
the pattern of use are not
entirely unresponsive to the
world oil price, the response so
far has been very slow in rela-
tion to need, despite huge price
increases since 1974. Progress
is being made in developing

new sources of supply and some
countries, notably Japan, have
achieved significant energy sav-
ing. But exhaustion of easily
accessible energy sources in or
near the main consuming areas
continuously diminishes the
total supply available.

This is the main problem
which the EEC must help to
resolve if its own recession is
to be brought to a° end. Europe
as a whole is too large in the
world economy to evade the
global constraint by out-compet-
ing everyone else and buying
up all the energy it needs.
There are too many other
energy-hungry parts of the
world which, by fair means or
foul, have to provide for their
own survival- Even if Europe s
industries were the most
efficient in the worid, it would
still not guarantee full economic
recovery. And to the extent that
Europe can ease its problems
by this means, it is only at the
expense of condemning other
parts of the world to continued
recession and, in many cases, to
worsening poverty.

The policies necessary at the
international level to generate
recovery can be stated quite
simply. They are: the accept-
ance of a high world oil price
as the only effective means of
maintaining continuous pres-
sure for energy saving and the
development of new supplies:
the willingness to borrow on a
large scale to finance the
counterpart deficits to Opec
surpluses: and greatly increased
aid and/or trade concessions to
low income countries

It is much harder tD envisage
agreement being reached, on
these policies 2t the EEC. or
world, level within the time-
scale required materially to
affect economic developments up
to 1985 when individual
countries vary so much in their
vulnerability to oil price
increases and tbedr borrowing
potential.

As yet. the collective gain
from a global effort to overcome
energy scarcity has hardly been
recognised. Governments are
still preoccupied with curbing
inflation through restrictive
fiscal and monetary policies
which will prolong recession
and, by holding down the world
price of oil, make the under-
lying problem more intractable.

This piece is based an the latest Cem -
bridge Economic Policy Review (Vof. 7,
No. 2) to be published on January 11.
It can be obtains! irom Gower Press.
Gower House. Grot t Road. Aider shot.
Hampshire. GUT 7 3Hft.

Letters to the Editor

Immuni ty clause in Lloyd’s Bill

From the Chairman. Llloyd’s ■

Sir^-lread with interest your
juiftdfnig ’article of January ' 5
-entitled V Tying up the Lloyd's
B&H.” You quite point to
the importance of the Bill, the
. close examination j • and wide
debate which it has already
received, 4i nd. the utmost impor-..
tance of the legislation being'
enacted as soon as possible. .

May I be allowed to deal with
two points raised in' your leader;-'
The first -is your; suggestion
that an amendment might be.
necessary to ensure "that "Che.-
Society and. Council wotild not
be protected by' tie JWOTisioiis.
for restraint on. suir for civil
damages. If they, acted “ above
and beyond " the. duties imposed
on them by the new Act and. its ;

byelaws. In fact such an amend-
_ merit is unnecessary since the
current drafting of Clause 11
includes, just such- a limitation;
Sub- Clause (3) makes it clear
that restraint on suit only
applies when the Society is
exercising a power or duty
. imposed by the Act; there is an
absolute exclusion of any act
: done in bad faith; finally, the
.general legal right to challenge
;*ny action of the Council as
“.uitra vires," remains. This
‘ right is entirely unaffected by
.Clause II'.

My -second brief point is to
emphasise that ‘ Lloyd’s seeks
the indusiOD of a measure of
restraint Upon suit in the Bill,
not only to safeguard the holder
■of ^ Lloyd’s policy, but also to

safeguard the interests of the
members of Lloyd’s by ensuring
that they benefit from a properly
self-regulated market For this
reason I am unclear as to why
you think that the Clause
creates “ a tension . . . between
the interests of those that seek
insurance from the market and
the members who put up the
capital to allow the market to
function." It is my profoundly
held view that Gtause 11 is
needed for the general interests
of Lloyd’s itself — that indeed
that can be its only justification
— and that the community of
Lloyd’s will be better off with
the Clause than without it
Peter Green.

Ldoyd’s,

Lime Street, BC3

Secure form of
payment

From the Group Credit
Manager , Cope Allman .
International-.

Sir, — Mr -. John .• Brodiick
(December ’ 15) ' talks of
•* secure payment ... to , re-
place the letter of credit,” yet
we have in a confirmed and
irrevocable letter oi credit the
most secure form .of : payment
one could devise. It guarantees
that the banks, in their role as
agents to your customer, will
pay you. What it requires in
return is great care with the
presentation of shipping docu-
ments that . go. with the letter
of credit, bnt .that is no more
than one would expect when a ;
bank is irrevocably ««mhitted
to paying you simply by accept-
ing a few sheets of paper on
which it must rely as collateral.

A letter of credit without con-
firmation and obligation • his
never guaranteed payment from-
banks or customers, Once it is
confirmed and irrevocable, how-_
ever, then you,, the seller, -are
safe and payment, has'.. to be
prompt
L. Scniton. .

37, Hill Street, WL

Flouting of trade
agreements

From Mr D. fie Saxe ■ ■ ■

Sir, — In his article of De-
cember 16 your Far East editor
raises an .'issue of the utmost
significance. Many countries
which .do. not pursue the con-
cept of free trade impose block-
ing regulations, weaving an
intricate" web of red tape so as
to inhibit, if not absolutely to
prohibit, .the importation of.
goods. competing with those pro-
duced domestically. Unfor-
tunately, there exist certain
major trading nations,, signs-.

; tones to GATT, whose; authori-
ties Behave in the same way,
deliberately ignoring the con-
: cept Of, trade reciprocity. They
also impose network of absurd
but carefiilly phrased jroles and
specifications which produce the
effect of almost total discrimina-
tion against legitimate imports.

Such . flouting of trade agree-
ments is- ; widely- practised by
Japan and .is. well Illustrated by
your Far East editor. An effec-
tive method, by which to bring
it to an end is indicated by
Italy’s sensible - attitude to the
importation of Japanese motor-
vehicles. By ] the imposition of
similar blocking tactics, all EEC
countries should refuse to Im-
port any goods' whatsoever of
. Japanese origin -until, such time
. as the Japanese \are brought not
only to understand their two-
way trade obligations but also
to put them into practice. '

The effect of such action on
our economies and manufactur-
Ing employment-levels would he

remarkable.

One becomes tired of the glib
.response to a suggestion such
as I have outlined . that import
protectionism, \ however dis-

guised, would lead in the long
run to reduced export oppor-
tunities. When . we enjoy no
exports to speak- of in Japan,
wbat have we to lose7
D. A. de Saxe. . ; ;

Milfoil House, Woodpecker Way,
Mayford, Woking, Surrey: -

Success of finsaicxal
futures

From Mr Bf. Spencer _ •

Sir,— David Lascelies’ Lom-
bard column, “Gambling on the
futures market” (December 17)
deserves a reply.

Interest rates futures, new
fangled and fashionable as Mr
.Lascelies accurately describes
them, do not exist without a
. reason. Ten years ago ; there
were no interest rate futures

markets — there was not much
need given the relative stability
of interest rates. Today, on a
reasonably ' active day, the
Chicago markets will turn over
$40bn worth of these instru-
ments. The reason is pretty
obvious to anyone who looks at
the record of interest rates over
the past two years — unprece-
dented swings have taken place
in extraordinarily short periods.
These volatile movements in
rates have made long term
financing either unobtainable or
• exorbitantly expensive to the
majority of borrowers. Short or
medium term financing has now
become the rule and borrowers
are consequently exposed to
considerable fluctuations in the
cost of their money. What is
true for borrowers is, similarly,
'also true for lenders.

Virtually every bank, corpora-
tion, Government and many
individuals have interest rate
exposure. Futures offer the
ooportunitv to offset all or part
of this risk both easily and
cheaply (in transaction cost
terms). Conversely, those who
are less risk averse, can specu-
late on anticipated rate changes.

Like any financial innovation,
interest rate futures have come
in for their share of criticism,
usually from those who do not
really understand them. There
is however, no shortage of
bankers and corporate
treasurers who have found
futures extremely useful and
versatile. Certainly some of the
new contracts proposed by some
exchanges may seem a little
esoteric but like any market
their success will ultimately
depend on whether there is
genuine need and hence usage.
To date financial futures have
enjoyed a most remarkable sue-
cess — they have grown from
nothing to become one of the
most heavily traded markets in
the world in roughly five years,
Michael Spencer. .

135, Portland Road. W1I-

EEC regional fund
grants

From Jfr A. Pearce, MEP

Sir, — EEC regional fund
grants are supposed to be addi-
tional to British expenditure
and, therefore, readily identifi-
able as such. Yet the money
Is, so far as l can see, received
from Brussels, put into the
national kitty and disappears
from view.

This breach of the principle
of additionality is particularly
frustrating to those Who sup-
port Britain's EEC membership
because the public, which bears
so much about what the UK
puts into the EEC, is denied the
chance to hear what we get out
of it, especially in areas like
Merseyside which do quite well
out of the fund.

Let us hope that the British
Government will change this
policy (which it inherited from
labour) and *' come dean ” on
its handling of this money.
Andrew Pearce,

30, Grange Road,

West Kirby, Wtrrfll,
Merseyside.

Direct broadcasting
by satellite

From the Director of
Information, Home Office

Sir, — Mr W. K. Stevenson
(December' 18) did scant justice
to the issues to which be
addressed himself or to the
problems of- radio frequency
management I could not do jus-
tice to these matters in the
compass of this letter, but his
principal assertion, that the
Home Office intends virtually to
block satellite broadcasting in
the foreseeable future, is one
which at least I might be per-
mitted to correct

Last May the Home Office
published the report of its study
of direct broadcasting by satel-
lite (DBS). In his foreword to
the report the Home Secretary
said that the Government
believed that a positive
approach to the challenge which
DBS presents was the right one,
and that it was prepared to give
serious consideration to a
modest early start Comments
on the report were invited;
many have been received and
are being considered: and. in
a recent debate in the House
of Lords, Lord Belstead indi-
cated that the Home Secretary
hoped to be in a position to
make an announcement about-
BBS in the New Year.

In the circumstances, Mr
Stevenson’s strictures hardly
seem justified.

D. D. Grant,

Queen Anne's Gate, SWJ.

MOTOR CARS

HOOPER & Co.

(COACHBUILDERS)

Established 1826 Associated with Rolls-Royce since 1809
If you have recently bean deprived of your servicing facility remember
HOOPER A CO. (COACHBUILDERS) LTD.

SAME-DAY 6.000- AND 12.000-MILE SERVICE
Free collection and delivery extending to
RICHMOND. KINGSTON-UPON-THAMES AND BEYOND

Take advantage of our Ires winter check carried out by the bast service
people in London.

SOMETHING NEW

Our new fl re-resistant heavy-duty fined car covers, made to measure,
are now available.

Nylon and lambswool rugs tailor made for all makes of cars.

Wide range of colours available, or dyed to match.

Trade inquiries welcome.

For further information: jg“

Telephone Mr. John Roddy
01-624 8633

KIMBERLEY ROAD, NWS 75H.

PRESTIGE MOTORS

(PONTYPRIDD) LTD.
have for sale the following used cars:

Silver Shadow, midnight blue, blue hide trim, fitted with all
usual refinements. Manufactured to very high standard. Most
impressive vehicle in fine condition with low recorded mileage,
offered at £7,995.

W reg. Rover 2800, automatic, platinum metallic/fabric trim fittings
with many options, including sun roof. Under 20,000 miles recorded,
in almost as new condition, at today's replacement cost of £10,800.
Unrepeatable value with 2 months’ warranty £5,995.

1979 Escort R5 2000, beige with brown custom pack trim (tinted
glass, allow wheels, etc), low mileage, director’s second car in i
fabulous condition, offered with full 12 monchs' warranty at 0,695,

THIS WEEK’S STAR BUY

1977 Model jaguar 43. LWk, automatic brown with fawn hide
trim. Fitted radio/stereo, tinted/eleccric windows, central locking,
etc In lovely condition. Offered with 12 months' warranty at a
fraction of its true value £2,495.

All prices are quoted for cash or h/p, but will negotiate
pan-exchange 'on any vehicle.

Please telephone 0443 741381 or 0443 407065.

COMPANY NOTICES

PRESTIGE MOTORS
(PONTYPRIDD) LTD.

JANUARY MADNESS

For January only we are currencfy offering any make of new car
with interest rates from

6L% PER ANNUM

On lease /lease purchase. All vehicles supplied this month at
sensible discounts on list. P/X negotiated. 12 eo 54 months
lease/lease purchase. This offer is available to business users and
self-employed persons only. Written enquiries welcome. No
obligation. Phone for free quotes at Abercynon (0443 ) 741381/
741215 or after hours 407065.

19 YNYSMEUNG ROAD, ABERCYNON. MID-GLAMORGAN
Mon- -Sat. 10 a.m. - 7 p.m.

GOOD NEW5 FROM PRESTIGE MOTORS LTD.

Why not let us alleviate your problems setting your quality used
car wxfi either a very high cash offer or on our exclusive no sales —
no. tee S.O.R.. scheme (approximately 70% of all can are sold
wrchrtn 21 days).

Please ring today without obligation for full derails.

We are at: 0443 741381 or
0443 407065

1974 ISO FIDiA

4-door luxury saloon. RH.D. Autanutte-
Alr cor*. Finished in diver metallls.
Fine example of Italian dtslpn and
oaftuiun&Mp. Personalised no. P4«.
Contact:

T. Price after 630 p-m-
01-850 5603
£6,750

ROU5 CORNICHE CONVERTIBLE for hire
Rales from £175 per week (one month
minimum). 0227 664S1.

MOTOR CAR ADVERTISING
APPEAR5 EVERY WEDNESDAY
& SATURDAY
PHONE SIMON BOYD
01-248 8000 EXT. 4186

TRAVEL

The Sun Shines all the time
in the West Indies

We havo a selection of 100 too-OunJity
crewed boats that we have personally
Inspected based in AntloiJJ end St.
Vincent We have coloured photographs
of the boats and crews and will be
happy to give advice and arrange
travel. Price* from £20 per head per
day. Ring or write to Patrick Boyd.
CAMPER & NICHOLSON YACHT
AGENCY. 16 Resenev Street. London.
5W1P ADD. Tel. 01-821 1641 or
TciOU 81 SO 78 NICLON.

TOKYO. Osaka. Seoul. Talhci and Far East
WMe choice of Discount Flights.
Brochure, Japan Services Travel. 01-457
5705.

PUBLIC NOTICES

HAMPSHIRE BILLS

Slim Bills from 31-12-81 to 29-1-8Z
at Add In. 555m. £33m out-

standing.

INDUSTRIAL AND MINING DEVELOPE4EN7 BANK OF IRAN
9.25% 1976-1983 LOAN OF SUS30.000.000
AMORTISATION OF SUS9.000.000 ON FEBRUARY 5, 1982
Ws inform the bondholders that 9,000 bonds of nominal each SUSI.OOO
have been drawn lor redemption in the presence of an “ Huissisr " In
Luxembourg on December 21, 1981.

The bonds will be reimbursed at par on February 5. 1983. coupon no. 7
and lollawing. attached, according to the modalities of payment on the
reverse of the bonda.

The numbers of such drawn bonds are as follows:

8134 TO 13844 INCLUSIVE
22846 TO 26133 INCLUSIVE

Amount outstanding after February 5. 1962-. SUS3.000.000 nominal.

The Principal Paying Agent
SOCIETE GENERALE ALSAClENNE OE EANQUE
15 Av. E. Reuter. Luxembourg

PORT UGUES E GOVERNMENT

3 u q EXTERNAL DEBT 1902
In accordance With the Law of the 14th
May 1902 and the Docroc of the 9th
Aupuat or the same year the Slnklno
Fund Instalments due 1st January 1992
have been e fleeted by the Junta do
Credits publico in Lisbon as follows'.-—

1st and 2nd Series Hoods
Details as advertised on 29th December
1981.

3ns Series Bonds

The entire instalment has been met by
the drawing In Lisbon on 15th November
1981 of 5110 interest bearing bends ol
£1 9.1 8s. -d. each and 149 interest bearing
bonds ol £99.1 Os, -d. each, bavins a total
value of £76,71 4.1 QS.-d. (Decimal equiva-
lent £76.714.50). together with an equal
number of non-interest bearing bonds of
£6.12s.8d. and £33.3s.4d. respectively, of
Identical numbers, totalling £25.571. iqs^d.
(Decimal eaulvaient £25.571.30).

The afore-mentioned drawn bonds are
repayable from 1st January iga2 to 31st
December 1986 and those stamped by the
Portuguese Flnanctal Delegate tor payment
in ttarliw may be presented tor repayment
at the Securities Department Counter of
BARING BROTHERS & CO. Limited. 6
Bishops sate. London EC2N <*AE. where
lists of the numbers of the bonds and
lodgement listing forms tor the drawn
bonds may be obtained.

TRANSALPINE FINANCE HOLDINGS

LA.

USOO.OOO J»00 614% Loan 1982
FINA L REDEMP TION

Transalpine Finance Holding* J.A.
announces that tor the redemption period
ending on 31st January 1982 rt has
purchased and cancelled Bonds of the
shove Loan tor USS1 46.000 nominal
capital and tendered them to the Trustee.

Notice is accordingly hereby given that
all the outstanding Bonds of this Loan,
amounting to USS2.804.000 •nominal
capital, will be redeemed at par on 31st
January 1982. from which date all interest
thereon will' 'ease.

Thase Bondi may be presented at the
omres of die paying agents (set oat on
the revers e of the coupon) In the manner
specified In Condition 5 ol the Terms
and Conditions of the Loan Printed on
the Bonda, for repayment of the principal
and tor naymant ol Interest One against
Coupon No. IS dated 31st January 1932.

Principal Paving Agent:

N. M. ROTHSCHILD A SONS LIMITED.

New court.
St. SwIthtnTn Lane.

London. EC4P 4 DU
5tfi January 1982

RESIDENTIAL

PROPERTY

FOREIGNEP.S can _ buy apart-
ments on LAKE GENEVA, in
Montr&ux near Lausanne, or att
year round resorts: St-Cergue
near Geneva, Villars. Les
Dfablenecs and Verbier.

FINANCING UP TO 50-70;\l
AT LOW INTEREST RATES.
Also quality apartments in
France.* £VtAN on Lake Geneva,
and MEGEVE. summer and
winter paradises, both approxi-
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wWi NO RESTRICTIONS.
Advise area preferred.

Write to:

Developer c/o Globe Plan SA,
Mon-Repos 24.

1005 Lausanne, Switzerland
Tal: (0211 22 3S 12
TbIox: 25 185 melia eh

AMERICAN

EXECUTIVES

seek luxury furnished flats or
houses up to £S50 per week 1
Usual fees required

Phillips & Lewis [

01-&59 2245 j

V

Financial Times Wednesday; Jammiy. 6 1982

Caapaaies and Markets

Pleasurama improvement
blunted by Gaming Tax

UK COMPANY NEWS

Howden Gp. Owners Abroad Grp

at £3.37m unlisted quotation
haMway

dividends announced

. Date Carre- Total Total
/sjxreut" --of’ spooding

Halma mL _ 4.5 &5 65

0.45 Mar. 9 V* **L*L*.

pressure

00 Mare Martin of 6m » the com- toric ^ripaimes of shares.

ALTHOUGH PRE-TAX
Pieasmama, the ente
nret amaseiBrat

asuseosaU concern, fgggj (fkwO). attribotaMe existing units. Thisy^r ^mhs'toOtSober 31 MW. ou'to Uniisten o*=£»‘

to S5&n, £2.79m compared be ^rNorman ElBot, chairman, Market stating.

SrGeoSe Martin, the managing jw gtm. Stated earnings per roatnbrutiOTS gays to activity level remained The placing 15 Jj???® S

to «£ ftnin »iSrSiS?S SSftmtary. IMdlty Is Mffld 19p l to W •"£*££*■

rrjT been son** EE0-®* 0 Ju» ier erono opened three new with its_25 pwcentaraKe gearing ratio improved, for the company (to L keav

STSnSiS® f ® «* new ca^s dSnTffic year and Rite Casino. ***■*•**“; ££££*2 the ftst tali costs of "SE

Siing S. ^Sd^Tttfher. Mr Martin the cam#! ■gJgJJW/JJ ^tiirufi in the and £500,000 for the vendors

Of this total, he says £650,000 ^ he believes there are opport- ®?^SShDobo™-£S.^ Sid sx months and liquidity owners Abroad-

w to «* the tax ^es to bay more pnrviflmd wfll remain strong. j , •comment

(hi its two associate companies casinos, and !5L®KE £ 'ftTdSra! TOe dtoaots iirtrad to declare • C ? ni f^TT, the year vri

Unlisted Securities

Of this total, he says ^ he believes mere are oppwv ErSh nTbontwings. Ex- second sx months ana uqmui^ uwnera to enlarge

Jf to Mfe stare of the tax ^es to buy more pronto^ wfll remain strong. j , •comment Also a qua

I^itT hm associate companies casinos, and the grow £ j** to shares The directors intend to declare • COmmen wfa£Il of people

M? £*£5°5 111 CTPmdmg ^ Sfdremain the purest casino an interim ^vidend of L4|> jgrt J&i Lt holding

Rosehaugh’s f 1

bid for London

kSSWESS U1U AV1 j

*canmienting cm btorparts of K2 St^r^mS^S £E? ’?«

ess;?*®- sssggg sss^fS

SS3K52S

U> £16m in the year crease in profits,. ^ilp nTarooiid Ki per cent die design and manufacture of _ w « >rf

SESTf .i£ E-3??S§ ZikSsmzM 3ESKS* Hedged shareplacmg

"before we came on to

: agam.
per cent
the end

teixS aw mistirosftf*'™™' iSl3* 3 I*^Sh» P«P«ty SoStoWto » saral of,

Trust _ . from McLeod Russell. ;

SSl^M froS £li3m to SiOSm auce mme® »= “S 1

(Sa^n?. 1 ewer the

The fiial fimLend is nowted ^ comment MetropoH

from 4^ f0 T ■ pieasnrama’s 21 per cent rise in -colt ofth

£roex 65? t o pretax profits does not do it full can adrei

“Sf-^SS^ opfrom justice for an extra £lin was lost romenro.

profits have risen by ^per cent comment
over the last five years- :Grend P COimnen t

Mrtropffiimn still has 28.7 pa- A now-familiar sc^e vv au The directors intend to re»m-

«t of the. equity, but itsto^b ?estoday riw. ^5 . Fledgelhig Iuvesta«tep m Sd aS*anged dW*nd of

to sain improved status

tvr £5 ji«*rTrs intend to

The directors intend to recoin- changed at ^P-

Off erf or the London Shop
ordinary is I35p a share, ZP
below Monday’s close. SPAIN

Shop shed the 2p margin yester-

day to close at the bid level, jammy
while Rosehaugh closed un- b«>« !

UB- Banco Bulba O — — —
Banco Cattnl ■ — . — —
rtuTv Banco Exxon or

Tax £br the year was up m

Investment
Co. revenue
ahead midway

■w • fcLOWaeu snares Fiexmns ~ being sold hy extsong su?*'- Wflita » its Banco ZOfagoa. -

TT 1 _ v,-- rt _. J no1 TC nur the market; nsmg at aboid ^ market with a placing of 2.3m Following the placing, 209p a share according to xis Dp89sdos — . ,+s

■ 1 51 1 ITS 2 1 TSGS and psys 35 per cent a year over a period onl j I i ar y shares at 585 p per J^SSmerican Securities Coiv advisers, J- Henry J Schroder zsne eo

ft o-!™Lk ■sfes^-iK *FJttE&V5L SSgj»«s*^a s^ E ava^r S --

more after six months ^StfdiffiraU to Sh ^S‘ purpose of the pinch*, l^L^t pS? i ””- 1 J ^

TAXABLE PHO^ ^ ^ M

27 week; to growth in prafltahaJity- especially in Canada “So*«5 tag .•« S £neri4S Trusty per by this ch^^ehare^riM^TOS Union Bact, “ 7

run me manse l, ““ — r , me marsev «iu* ■» Fa 11 own E me £Wjy a. — ■■ J prsaaoos ” —

35 per cent a year over a period onl j I i ar y shares at 5R5o PJ Securities Cor- advisers, J. Henry J Schroder Esftanc ^ e Sue — ^ _ 6

5^Sing back to 1974. J**w This amounts re 1S5P« MnSrawmSld 24 per cent of Wagg. Folly dOMed, andallow- foc m

150p, ithS seem to recent mo^hs ^ of the company’s issued First -Scotti* ing for Londo ^*?P ®«2S SJTllSL^II 63.7 -12*

to have readied a level from g lBxeSm KeriSriiist a4 per cent, posed merger withite ^sister com so -a

'wtocit:iL will be difficult to stage The purpose '? £ ^ t ^ e Fleming Investment pany, Beaumont ^ ~~ z

a furthw 'breakthrough. Howden ing made • by oeTS, xc lombard figure woidd stm be 1«P a w

PoKTOiObs .«•>
PcBoWber

jttfiszrTZ Tsastfs*- ^jsaaw-g gairasmaB B^s^Mwrts

»JS£*i£5 r^ 1 gssM'isr’M pijars^^asj &w to -

ahead from £ 14 4. 4 54 to £170.784 uveL>- of m5» (£46,000) and the that point, however, assumptions companies, both hfted andun and Co. Dealings

foe the six months ended Sep- unpLAMLeqpBl toWSpwas gire, £397,000 further demand far listed which, for as are expe ^ ed tQ begin on •

. 4/t -f no-1 paid fOE 13W>oi- /ponn nAAV iiTfic nftnr mifmrilfftS Ttnu-nr chfifmff— and ESS- cm^l fflZG. POOT ma rKeiaOmiy » t fO ™

temher 30 1981-
Earnings per 25p dMre are
sbtHm as Z-SSpr against 2fi8p, systea

^ i^i^edout that the grooft (£322,000) was afterminoriiies unclear newer statiooMnd .gas- smail Poor January 12.

^SL, SSL' per 10p share b^a ^AaS ttedgim ^arMterfeScs, • comment

iftoffn as 2.-^ a ^ ainst ^^; SSSlS^i SFS SS & S hmSived to 2.Mp (1.64p). All not fevoureMe. For all that, a for direct investment by its investment trusts ]

aad M^ tt^ana tatAta compariMAS are for a ZS-weeS fully fared. P/e of U dteomti alenbolfero- ^ ^ ^ popotar. ^

dividend — last year’s single pay-
ment was LT5p net per share.

SSSHS srpcws?' «S SsSiS rar.^i^s

Total mcomefbr the half year at^elSr 3 was the Hanovia Group of Co^anto. before tax to year and perils Ja^ ^1 1OT6 to r ^ ^olio of small or unusual

n^ed to £311374 (£236,154). ^^“hfi^than a year ^P-25j^“jS £J2L^ « °t£E ISrSSS.Vwerll con- -Among genera! tru^

^nrcmnlpd tO £3H374 (£236,154). yj g M in «»OTi
The ultimate bofedtag comp a n y earlier,
ss Sew Centurion TrasL

agTiroaim y ^ within the environmental control emphasises that Howden Bonowregs at i^cemoer ^ ^ ^ fw* have surpassed its

^TW riirectoo; say the strenga division • and it is believed toy paper is now quite highly rated, risked <rf a t v* 257 per cent rise in asset value

tJ^SS^tolayld dS hold considerable potential for ^moment may be approaching d^tnre atockMdf^^ jEcJlW* A lot of Fledgeling's

to further development. when Howden coold reasonably ba^loros. Fle^^^so ^ ldiDSS ha ve been re to port-

now s^stantiaiSy Vohunatfc, bought m Januaiy exploit this rating in order to a^ewntmg liabiu for same time and now tot

ywtnmaniOf- nfvw ci fftcrannaHV vuumiwium — . - cauivu muj ***wh 6 ~ ___ aMA ID11U iDi ddiuv — — — — . “

SSreSSsTto to conditions, last year, has .proved a very aaM- broaden its technological range revenue has grown from to liability for capital 8^s tax

^T^eiwilh some oonfidence factory acquisition,, comfortably and reduce its dependence on the to January is to be lifted, to

^evea if to economy were to “ ceefi ?5 it ^ 1 ^f? w profit f " no dear industry. to *470,000 in 198DS1 become a more tong

rwnain at its present depressed to pennd under review. £rtfl«So ta ^ ^SLSS^SSSSA m

Wmterbottom SSreS^d^liTto^^ShSS rest year, h& pro^i a

Energy Trust SffJff.’ffi SMS' &

HfllCigy i 1 Mmafrw ^ its present depressed to period under review.

Pre-tax revenne of the “Winter-

sSSis Northern Foods outlook

FORTtiE R PROSST The € ^“ 5 2^°^°| 0 5 11

daring which to company meat is expected by^the Ch^- Awum <^»qp rosetoOT^^r
rSd rtc nrfe from that of an mm «£ Kortom Foods, Mr cent to to fe^ _fennonI V^T-

rfian^d its nXe from that of an ^ oE sfertom Foods, Mr «ntB ™ ™ “T*/

A property revaluation » «t

SmSmSbVm ssssem poffi ^^ ubei ^sss tedin * D sassrtabs re^SeS

Sd^Ssy related stoda- interest rates on both sides of to next group accounts. increase in to

A year ago ft estimated asg to C^n The Ljjf in ^ and Company, ' Dorset-based

Increase in
Devenish
property value

ffSS S *KS in 35a becomra more Jring reveetor

-SarS SSffiwsa 1

jsas» sartswsSS

Ssr^w^ 676 - 77 - s^^r hci - meyIdd

A property revaluation as at SHARE STAKE‘S

&SSL 'te ttTfeed John Laing — E. tores by purchase of 25,000 at

asset value of J. A. Devenish director, has acquired 20,000 I7p. „ ^ «.

and Company, Dorset-based ordinary shares. . Baaaloni Holding un

brewer. Sphere Investment Trust- December 22 Jatel soWk to

A year ago it was estimated ~ - p» ta _ xoc ~r =_ ^.1 and Company, Dorset-hasea ordinary snares. t jmzwoui ““

that suck a portfoUo would Ag ri cultural to 8 T U1 ^ FK 5^ brewer. Sphere Investinent Trust— December 22 Jatel to

Produce earnings per share of proto rose by antiMrisetf capital from £56.5® basis of the revaluation standard Life Assurance now Close rule Its holding of 22.500

OifcSd rSiiSndof O^P was fiw to year to S^rtentor 30 ...67.5m by to J* * wm to market value of proper- bolds 2,245,000 shares (7.56 per gh^es in Bamlloni (8.99 perj rent)

SScast Earnings are in fact 19SL expenditure *«*»«“ ordinary shares ° f tiS with their existing use as cent). ^ c+ _ „ at £7 per tore. Aj» Walter

0.72p (2A2p), and the final dlvi- rff^^Tplarmed 25p each, a group 0 f public houses Crest Nicholson— R. SLJ. H. Duncan and Goodncke : sold to

dend is DA5p making 0A5p (2p, JSPmt^HoSct say? totiro Ordinary shareholders' guppUed by a brewery. Proper- Lewis, toector, has acquired cioserule ite holdre g rf<4,04O

after subdivision of tores). Net ^ n ^S?are ^PorkFanns a^tefends stood at £13S.76m tiw held for dteposal were 20.000 ordamny. tores and ^a shares m Baz^oni (29.95 per

asset value per tore is 78.5p and Fox’s W assets valued at to market pnce.for tnmtee has disposed of 4^00 cent) at £7 per share. , , iy

houses

( 82 . 3 p).

Tax for to year
(£261^68).

S,“Srt.‘S "id— the -brewery ^tatry shares Wm. W end Co.-Mr L W

1 morove efficiency. rose from £151 - 4to t0 £169 - 44m industrial premises were valued Federated Land— J. H. P. stewar t, director, has disposed

2J5L_ fwnSwiH be spent at and net current assets were on a depreciated replacement Meyer, director, has disposed of rf 20.076 ordinary tores, non-

» A .lightly hhMd wt_£27.to AWl Tte ™lue of aU Lta . *« beneficial. _

(£U7BSm). Total fixed assets

took £156.843 ^ 5!^ ™ tedustSS premises were valued

brewery ordinary shares.

vmmmrro sneaalmHte. £25.49m previously. There was properties is now £34m. Parkland Textile tnouuu^i—

YEARLINGS On Novwnber 10 tocompany R Ascr ^ se in borrowings of Jig SfiSSaL rfmwSl **“* Henry T ^ vm SSriSSi

The interest rate on this week's ^° unc ^ e a f 8 18111 £27^n 831 ’be retiring at to AGM tm bought 200,000 shares making ordinary (0.80 per

issues of local authonty yeariing ^5J“; are P partly ’ t?^set increase 1351 ^ - ■ January 27 and will be appointed bolding 450^000 (8 per cent). rent? Total bolding as trustee

bonds is 15i S SmSiialml abote enable to Current cost figures showed of to company, says Garten Engineering — On JJirW-jo “A" ordinary (3.19

with 15& per cent last week and tate'S«®I^B ol pre-tax profits of fi6Aftn w hile beer production tJecemiber 21 Primrose HJH p^r ceirtL Sir Rdchaxd Dentoy,

I3i percent ■ ^ to fiirS^^alsir (£24-38m) on turnover of £7433m {finally was down 5 per cent Securities purchased «,Q0Q « trustee acquired

list of this week's issues wffl ta owmtumties tor rer C £581. 54m). in 1981, total beer sales of ordinary shares at 21 p. ^4 “ a” ordinary (0^0 per

published in tomorrows editions. tions. % ■■ f Devenidi fell by only 1.7 per Britannic Assurance — Follow- Total holding «s trustee

800.000 shares (7.3 per cent).

Parkland Textile (Holdings)—

nationally was down 5 per cent Securities purchased
in 1981, total beer sales of ordinary tores at 21p.

Devenish fell by only 1.7 per Britannic Assurance— -Follow- Total holding" as trustee

cent, ing upon John A. Jefferson ^ 437,073 “A" ordinary (7.9

He reports that the company becoming first named executor in cent),
sold a much Jailer proportion a deceased estate, he now hasa SteTUll g industries — Peter

of its own brewed beers. In non-beneBaal interest m 33,890 Wkley, director, on

anticipation of a poor year, 0 ordinary stock units. December 29 1981 disposed of as

distribution COStS nevelnnmeols — l^eceumer sax «

assunmee— Follow- Total bolding as

John A. Jefferson njw , 437,373 “ a " orthn

director, as trustee acquired
43.204 “A” ordinary (0.SQ per

“A" ordinary (7.9
Industries — Peter.

ana distribution costs Baxratt Developments — - ==n non ordinary

firmly controlled and the standard Life Assurance controls, an executor, > * ry "

... „ . 1 . Untol nine “ — . , rinlhT Tnhn KuHro

ioWat the Greenbank Hotel was ^0^1, various • holdings, James Finlay— Jota Swire and

reduced. iw . 3,843,970 shares (5 JZ per cent). Sons acquired lM.OOO ordmajy

TheGreenbank has now traded Caravans International — S. stock units and now holds

for a full year, haring been chairman, has increased 17,313,822 ordinary units (29.997

dosed far three months during j. folding to 1,018513 ordinary per cent).

♦be previous year. It is now

showing continued improvement ^ ^ ^ *.
in aD aspects, says Mr Ledger- | I

Hm. I LONDON TRADED OPTIONS

^ EMBRAER

EMPFESABRASORAIDEAHOsIALnTCASA.

US$ 80000,000

Matfcm Tfeiro Loan
fcfiianoedevrfapnientaffto

e u amriteedby

H» Fedetafivs RepobficolBtazi

Canadian imperiai Bank of OoBBneree
Toronto DouAdon Bank

CcrilnageB

Ba^as Trust Company IBI CCanada) Limited

. Credit Lyoimas NafionalVltestamsIer Bank Group

Banco do EsEsdodeSaoPartoSA ItoSiandBartc

Miami Agency

THE RCWiL BANKCF CANADA

Decm&BtfOB

Receivers S
appointed at
Youngers

Guy Parsons and Richard
Emitter, partners in tortereu
accountants Peat, Marwick,
Mitchell mid Co. have been
appointed receivers and
managers of Younger Funutmre.

The company m an ufactures
dining room and occasion^
furniture in London and
Andover, and. employs. .

The joint receivers intend to
allow to company to trade witn
a view to selling to business as
a going concern-

Abbey £ 2 . 5 m
expansion

A £2.5m expansion of its tool-
making interests is announced by
Abbey, the Dublin house-
building, property development
and industrial group with half its .
business in to UK
Under the plan Abbey is to
establish a tool roam in Dun
Laoghaire to manufacture large
tools for the computer, furniture,
leisure goods and automotive
industries..

It is also to set up specialist
facilities in Sligo to produce
micro-miniature tools for the
electronics industry.

UTD. CARRIERS
NAME CHANGE

United Carriers proposes to
change its name to United
parcels. It is also proposed to
restructure the internal trading
arrangements of the group.
Principal parcel operations will
-continue to be undertaken by a
subsidiary which will change its
name to. .United .Carriers,

LONDON TRADED OPTIONS

Jan. 6 Total Contracts 1,967. Calls 1,342. Puts 615.
I I Jan. | April [ July |

Lx’rclM Closing Vol
price offer

Hosing VoL
offer I

M vc.

BP (cl
BP (C)

BP lot
BP (Cl
BP (Cl
BP (P)

BP ip)

BP (pi
BP (p>

BP (P)

BP ip)

Cone. Gld <c)
Cons. Gld (cl
Ctlds. (c)
CUds. (c)
Ctkls. (c)

GEC (cl
GEC (cl
GEC (cl
GEC (p)

GEC (p)

GEC (p)

Gr*d Met. Ic]
tir’d Met. (p)
Gr*d Met (p)
1CI (el
I Cl (G)

ICi (cl
ICl (p)

ICI (p)

Mks Sc Sp. (cl
Mks A Sp. (ci

Shell (cl
Shell (c)
Shell (ci
Shan (pi
Shell <p)

Barclays (cl
. Imperial (cl
I Imperial (cl
Imperial (cl
Imperial (p)
Lusmo (O)
Lasmo (c)
Lasmo (el
Lonrho (el

Lonrho (ci
Lonrho (W
Lonrho (P)

p a 0 (e)

P AO ic)

PAO W

RaeaKd

RacaKe)

Racal m

Racal (p)

RTZ(cl

RTZ(e)

RTZ(O)

RTZ(p)

RTZ(pl

RTZ ip)

ETTZlPl

VaaIRfS W
Vaai Rfs. (p)

— 67 - 474p

— 21 — 73 p*

= 1 ■ :

— iso — iaizp

8 72 -

43 40 — „

8 24 — • _

28 37 35

B 87 - „

17 19 — 183p

— SO - 2B8p

2 38 - „

— 24 1 „

— 10 2 „

2 18 2

— 171a — 186p

12 1S^ - „

“ 1 “ I - |59ZP

- Il83p

— peep

36 7

11 57

312 _

1 —
9 5

February
20 75

Ilia -
6ie 111
Ha loo

Augun
45 —

lsia 2

10ia —

6 11

14 —

42 —

27 —

- Tap

-I - I - |UBP

- (429 p

— 866

EUROPEAN OPTIONS EXCHANGE

Feb.

Vol. I Last

May

Vol. i.uut

Aug.

VoL I tart

GOLD C 340

GOLD C *4«

GOLD C *45

GOLD P SST

GOLD P . *40

AKZO C F^3^0
AKZO C F-S6
AKZO P FJ«.60
AMRO C F.60

AMRO C F-55|

KODA C 57

HEIN C ; Fjfl

HEIN C F.£

HEIN C F-f

HEIN P F.S

HOOG C F.l
HOOG C F.17^
HOOG C F J
HOOG P . F J
HOOG P F.17.E
IBM C S*

31' J — - IS403JS

20 b! •— — I »

” r j Ti = = :

4 11 88 I 19AJ — I “ 1 "

mTo.™ bTJjo I ■ -T - fi*a»

KLM C
KLM C
KLM C
KLM C
KLM P
KLM -P

ICI M P

Su p F.UOl ‘10 1V-BJ

NEDLC RlfO 8 l.M

NEDL O FilSO . « OAO ;
NEDL P F.lBOf 4 10.60.

NATH O F.110J — | —

sr c c ..I o.,-o
Kit, 0 ra IJS 6 .Ml
ggg W *1 IS*

RD c F.90 46 O.BO

RD C F.100

RD P F.80 — —

RD P F.90 66 4.60

UNIL O F.150 € ■ - 1.40

UNIL P F.1H0 — —

•Feb.

MANN C DM.1601 IOP ! 1.60 j
SLUM C "660| . — —

VW C . DM.1401 10 I 2 I

TOTAL VOLUME IN CONTRACTS:
A=Asked B=Bld

F.90 IB
F.IOO 16
F.l 10 SO
F.iao . —

F.80 —

F.90 SI
F.100 .IBS

Si 0.60
Sfl 8.20
10 17B

a 1.8O
Be .0.30-
4 10^0 .

10 2

18- 10.40
-102 6.60

114.110^0 I 1 -T “

isai« -

RB2JSO'.

• 10 1.60
230 1.60

5A0 F.10930

~Z FAdlfiO
0.90 „

S . 3 FJ&.70
_| —.(DMWLSS

30. 1.60 110 . 5.50 — —

_ — - 8 ai« — — i ^

IQ 2 — — — — iDM.l

The 1C News Letter is the United Kingdom’s le
has a record of share selection which is seldom

inv e stm ent newsletter. It.
rett Take last year for

example. Slockbrokere, Seymour, Pierce & Co, punished a table which showed
that the 1C News Utter’s Star Nap Selecdons for 1980 (Itefips for major capital
growth throughout the year) bad substantially out-performed any of its rivals. -
Turbulent years such as 198 L test tiie nerve of every Investor. Yetsome of.
our 1981 Nap Selections are aiBI showing gains. Our record over the past few
years speaks for itself.

An outstanding record over the years j

many years. And they have not beea confined sotelytoNap Selections. For
Instance; look at the foKowingsbaras towing percentage increases at post- •• '
selection Wghs. u-. ■ . .

1976 Famed Electric - -758% : • •

1977 Automated Security 234096

• 1977 White industries * . . 3328%

1978 Basic Resource bit 338%

1980 North West Milling - 195%

The average percentage appreciation in the recommendation price of a/7 shares
selected by the 1C News Latter in 1977 at their highs (51 m altywas 244%.

The 1978 Selections averaged their highs:

In 1981 the News Letter has pfopototed some outstand ing op portun ities, for
[ example:

Volvo currently UP 72% * ytoy** 1

Mitel Corporation currently UP

Brunswick CorporatioiT • cufras%UP46%*

Jackson Exploration : - currently UP 36% *

A complete investment strategy ;

The key to investment strategy Is ip'Ornlerstand the underfying trends

controlling the market to hawe theproperbalance In yotirporfibbo arid to be .
aware of the right ’buy’ and ‘self signals. As wen as providing recommendations,
the 1C News Letter offers advice in all these areas. In other words we do tha
groundwork. All you have todb ls apply it

Ttatimeto start is nowl i

Thepotartial forgarrBfeoitHitwitswimintocqn^yri^nCTMi-T^ : ;

may have missed the earlie&and nssst lucrative PppotocppeA; - :-\i ' '

Make anew start wrth ourSttr Nap Solection3 forl982!!

On Januaty 6 the IC Now latter wffl rsveaVte Sfor Napsfor capits3 gr(Mth ki
1982. They could mate youa fat af money. ThelCN«wsLetterfe av£utt)fe ' ' •'
every Wednesday by postal subscription only. Use flie coupon betowtoorder
your subscription now, startingwito ihe 6 january Nap Sefoctkgi.issu& Should -
you wish to cancel your subscription at any time the outstanding portion of wur
payment will be refu nded. ' e ; JV.‘ / ; -

rrraHHBj THEFllWNpU- TIMES

LI 1 M 1 FffiEKW.tWPON EC 4 a 40 V «-o '' . "/

IwouWHlwtotafcaoirtaiiaww^iB fa agipti W tfllCHBwaUaigwItaiiiBasii tiH i ikwJlli tta :
BJatiuafj lSBZftapSelflcUonlstiie. '' ' 1 ' • •

j □ UK Flirt ChjsPotbgttfre ’fl'OwataAlmiMfTJafos^I*)'.. '. "iL.-l ‘ : ’ ...
j (Pitas taefcrie, FREE fifinKto*)- ; .... " ‘ \ >;. / v

I n I BncloKrTiydio^vali«£/USf........ ...^ipayrtfeionBctJness-PnblWiingfNl).

j □ l »Wi ta w iqrfcnwtah yn'iMacvaw'

J BkkCeuiikK • 1 . f . . ■ r 1 — >— »■ 1 _■ * -• -

1 -i , ---r - - jwb-iato.^ ;

j CompmyffriiaH «iiftm'(i**w ■iijliij>ii|t>4; ■■ ■ ■' ......

| tint T»n„ Cote ’■

j — i ...... .....I £a... ....... .

, fctawl Ufa BadM Hit QwitatladaB 4flt faftfcatf Aratec MBPS .-

Price

a.

335

335

,

303

325

115

347

213

-1

396

-2 1

216

t30

;+s

60

' - ■'

5&J

“6

43

^11

to save hours of checking through other sources

CHANGE

K.Z.

l^wypuca^iBeyoiffFINi^CIALTDVlES hot only as your

; . Wi^thisiiew monthly INDEX you can immediately
trace anythin 1981 to the

I' • ; stages

in a tad ormergei; for example; to monitor
si gn i fican t developments in ^particular
company or industry; to refer to any event or
pfcfsoodiiy whenever there is anything you

kV^wilfSTSlKmi

KMu

U-w

Corporate, GeneraLandPersonalities- giving

coverageof every newsitem. And as the
illustrations showyou, itis easy for you to cross-
ap "

THE INDEX GIVES YOU THE MAIN
POINT OF EACH STORY. THE DATA
BASRIS COMPREHENSIVE, ACCURATE
AND UP TO DATE. THISEXTRACT FROM
THE Corporate SECTION COVERS SHELL

SHELLUK

jat aa n otfeargm oa patrol Ag|^a<o;»>Pto» I« tamhw'b egaai irg» of ■
pCTMcntm complex u petrol be«U tarOM • gdjon An*Wu from tbs
muguv diwctof 0*t| Ab*I 2-1T« inn* NCB order AagU-llirMattfccirHdl
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Mr Booth 1 * claim on petrol profit level* raborud Ans 19.6c:

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V

Tliispro^ectus other n^ienal fads ttecrres-oo of «tnch v

Fledgeling Investments

any

(Incorporated under the Companies Act 1Q48 No. 552775)

Placing by

Robert Fleming & Co. Limited

of 2,344,600 Ordinary Shares of 25p each at 58 V 2 p per share '

payable in full on application

The Ordinary Shares now being placed will rank in full for all dividends hereafter declared or paid on the Ordlnaiy Share CapitaT of Fledgeling.

SHARE CAPITAL

Authorised

Issued and fully paid

Shares £ Shares £

13,200,000 3,300,000 Ordinary Shares of 25p each 12^569,480 3,142,370

INDEBTEDNESS

At the close of business on 1 1 th December, 1 981 Fledgeling had underwriting liabilities
of £35.500, and had outstanding unsecured bank borrowings of £2,100 and £500,000 6V* per
cent. Debenture Stock 1 988/93 secured by a first floating charge on the assets of Fledgeling.
Save as aforesaid, at that date Fledgeling had no loan capital (including term loans) out-
standing or created but unissued, and had outstanding no mortgages, charges, or other
borrowings or indebtedness in the nature of borrowing, including bank overdrafts and liabilities
under acceptances, or acceptance credits, hire purchase commitments, guarantees or other
material contingent liabilities.

DEFINITIONS

Fledgeling

Robert Fleming Holdings
RobertFIeming

Robert Fleming Investment
Management

Robert Fleming Services

Robert Fleming Group

— Fledgeling investments PubSc Limited Company

— Robert Fleming Holdings Limited

— Robert Fleming & Co. Limited, a whdiy owned
subsidiary of Robert Fleming Holdings

— Robert Fleming Investment Management Limited, a
wholly owned subsidiary of RobertFIeming Holdings

— Robert Fleming Services Limited, a wholly owned
subsidiary .of RobertFIeming Holdings

— Robert Fleming Holdings, 8s subsidiaries and
associated companies

• INTRODUCTION

Fledgeling was incorporated in England on 3Qto July, 1 955 Under the name of Atomic Securities
Trust Limited. On 12th April, 1962 Fledgeling adopted the name Fledgeling Investments Limited and
commenced business in mat year. Between 1 962 and 1 970 Fledgeling increased its paid-up capital from
£80 at21 st January. 1962 to £1,571 ,185 at21st January. 1971 by way of rights issues and platings at net
asset value. On 5th January, 1982 the paid-up capital was increased to £3,142^70 by way of
capitalisation issue.

The Board of Fledgeling has been considering how best to deaf with the potential capital gams
in its investment portfolio. If all Fledgeling's investments had been realised at 29th December, 1981, the
latest practicable date prior to Ihe issue of this document, there would have been a liability for corporation
tax on its capita! gains of approximately £1.56 million. Such amount w odd (after adjustment for the
capitalisation issue effected on 5th Januaiy. 1982) represent 12.4p per share out of the estimated net
asset value of 7S.0p per share. Redgeting is subject to corporation tax on its capital gains because, not
having a listing for its ordinary share capital on a recognised stock exchange, it does not comply with
section 359 of the Taxes Act 1970 (as amended) ahd is not therefore an approved investment trust. In all
other respects Fledgeling has complied with that section. In addition, whilst Fledgeling satisfies the
requirements tor treatment as an investment company under section 41 of the Companies Act 1 980 and
has given notice to the Registrar of Companies accordingly, it may not make a distribution out of
undistributed revenue reserves by virtue of section 41 (1) unless its shares are fisted on a recognised
stock exchange.

Fledgeling is therefore seeking a fisting on The Stock Exchange in orderto gain Inland Revenue
approval as an approved investment trust. Subject to approval being granted. Fledgeling will be able to
operate as an approved investment trust from the beginning of its financial year commencing 22nd
January, 1 982 , and the Directors intend to conduct Fledgeling's affairs in such manner as to ensure that
such approval win continue. '

It is the present intention of the Directors of Fledgeling to recommend that, sublet to approval by
Ihe shareholders and by the Department of Trade, Fledgeling's name be changed in 1982 to The Fleming
Fledgeling Investment Trust Pubfc Limited Company.

INVESTMENT POUCY"" .

Fledgeling was formed by a number ol investment trusts associated with Robert Remtog so that
they could have a vehicle for investing in companies, both listed and unlisted, which, for various
reasons such as smallness, poor marketability, lack of yield or speculative characteristics, were
unsuitable tor direct investment by them. Fledgeling has held a broadly diversified portfolio of investments
with no restrictions as to business sector. The majority of the unlisted investments are in established:
companies and only occasionally does Fledgeling invest in venture capital “start-ups". Fledgeling has
derived its income mainly from shares and securities but has Invested with a view to capita! appreciation
ratherthan income.

His the intention oHhe Direct ore to continue thisirrvestment poficy subjoetta toe restrictionssetcut
below. Although the Articles ol Association of Redgeting do nor (imK (he discretion of the Directors as
regards investment policy, the Directors intend to ensure that toe purchase of new investments or toe
fending of money wfll not itsetf cause:-

wtfchha^been approved as an inve^Snt^st

such approval but for the fact that it is not fisted);

(a) more than 25 per cent by value of Ihe Assets to be invested in toe aggregate of:—

(a) securities not listed on any reoognrsed stock exchange (for which purpose securities quoted on
the NASDAQ system in the USA and Canada wiD be treated as fisted securities); and

(b) holdings in which the interest of Redgeting amounts to 20 percent or more of toe aggregate of

toe equity share capital, including any capital having an element of equity, of any one fisted
company (other than a company which has been approved as an investment trust by the Inland
Revenue orw hich would quafify for such ap proval but for the fact that it is not feted); •

FIVE YEAR RECORD

Assets

Overtoe five and a half years to 2tst Juty.1981 Fledgeling's net assets, based on audited figures,
flrewfrom £2,675.850 (equivalent to 2t.3p per share") to £9,724,608 (equivalent to 77.4p per share"). At
29th Decetrtber, 1981 the estimated net asset value, derived from a. valuation of the investment portfolio
as at that date made on toe same accounting bases as are set out in toe Accountants' Report (Note 1 to

Jfo? ftofanm Sheet) tew thp AtiimatGrt JtehffltaG oc aHlfh iom /th*

years, eleven months to 29th December, 1961 compared with the changes shown by toe Financial
Times-Actuaries All-Share and Investment Trust indices asat the end of the monih in which FJetfcalra's
eocottotingpenodendedhasbeenasfoUows:-- “ ~

Financial Timss-
Actuaries
MShaislndce

FinsndalToneo-

Actuaries

Investment Trust Index

At

- 2fctJanuay

Net Assets
.pencefthafe*

Percentage
change over
previous
period

Index

Percentage

changeover

prawns

period

Index

Percentage

efrangeow

pevkxjs

period

1975

21^

—

172

— M

185

_

1977

21.4

05

165

(35)

168

(9 2)

1978

37Z

73.8

204

223

187

115

1979

44.6

20.0

223

9J3

211

128

1980

543

233

252

135

218

35

1981

62.8

144

289

1A7

27S

26.6

Al 21 st July. 1981

TTA

232

319

10.4

311

127

At29to December 1381 7&0

(13)

310

m

285

(SA)

Change over ff/z years
to 21st July, 1961 +263%

ChangeovK-5years.il months
to23to December, 19S1 +257%

SELECTED INFORMATION

The following information is derived from the full text of this document and accordingly
must be read in conjunction with that text

Business , .. _ .

Fledgeling was formed by a number of investment trusts associated with Robert
Fleming so that they could have a vehicle for investing in companies, both quoted and
Unquoted, which, for various reasons such as smallness, poor marketability, lack of yield or
speculative characteristics, were unsuitable for direct investment by them. Redgeting holds a
broadly diversified portfolio of investments with no restrictions as to business sector. The
majority of the unlisted investments are in established companies and only occasionally
does Redgeting invest in venture capital “start-ups? 1 . It is the intention of the Directors to
continue this investment policy. •

Placing Statistics 1

Placing price per share 58-5p

Estimated net asset value pershare 76.0p

Discount on estimated net asset value ......... — , — L 23.0%

Dividend forecast for year ending 21 st January, 1982 (net) pershare 2.175p

Yield (gross annual equivalent) at toe placing pries — 5.3%

Issued Ordinary Shares — — 12,569,480

Market capitalisation attoe placing price £7J3m

Performance ...

Over toe period from 2fst January, 1976 to 29th December, 1981 (the latest practicable
date before toe issue of this document) Redgeling’s net assets grew from 21 .3p per share to
an estimated 76.0p pershare (adjusted in each case for toe capitalisation issue effected ot
5 to January, 1982). This performance is reflected in toe graph below and is compared with toe
Financial Times-Actuaries All-Share and investment Trust indices. Over toe five years, eleven
months to 29th December, 1981 Fledgeling's rate of growth has outperformed, both of
these indices.

MET ASSETS PER SHARE

FINANCIAL TIMES
ALL-SHARE INDEX

FMANCIALTIMES
INVESTMENT TRUST/NOEX

I V6 7? 7B 79 BO 31 H t .ITh ••WBOntMUHWCMlWOM

-r-V

Over the five years, eleven months to 29th December, 1981 Fledgeling's net assets per
share have increased by a multiple of 3! i times.

Revenue and Dividends

The record shown by Fledgeling’s audiled revenue accounts forthefive years ended21st January,
1981 together with toe six month figures to 21st July, 1961 are set out below in (he Accountants' Report.
A summary of these figures is as follows*-

Gross revenue 257 294 319 400 470 208

Expenses - 42 41_ 50 49 57 33

215 253 269 351 413 175

Taxation 74 86 96 101 126 54

Net revenue after taxation 141 167 173 250 2B7 121

Dividend 104 116 129 / 233 Z73 —

Sutplus ' 37 51 . 44 17 14 121

Dividend pershare (net)* 0.825p 0.92p l.027p l.85p 2.i75p —

It win be seen from toe above table that during toe five years ended 21 st Januaiy, 1981, gross
revenue increased from £257,000 to £470 .000. Expenses tose from £42,000 to £57,000 and net revenue
after taxation rose from £141,000 io £287,000.

In respectofthefiveyearsto21st January, 1981 Redgefingstfivldend payments havegrownatan
annual compound rate of 23.73 per cent.

Year ended
2tst January

6 months
ended
•21st July

1979

I960

1381

1381

£OCO

£000

£000

. £000

319

400

470

208

S°

49

57

33

269

351

413

175

96

101

126

54

173

250

2B7

121

139

.'233

273

—

44

17

14

121

1.027p

1.85p

2175p

'adjusted forcapfteSsaGcn Issue

CURRENT PORTFOLIO

The breakdown by value (unaudited), ort toe basis set out in toe Accountants’ Report (Note 1 to
toe Balance Sheet), of Bedgetingfe investment portfolio at 29th December, 1981 was as foilows:-

£000

Percentage

otPoitoki

listed in toe UK

7,651

78.1

Listed outside the UK

732

7.5

Unlisted

1.409 .

• 14:4

9.792

100.0

The distribution of these investments on a percKrfage basis at 29th December. I98f was as
toaows:—

EQUITIES

Capital Goods Group .

Building and construction
Bectrical (heavy)

Engineering .

Consumer Goods Group (Durable)
Electrical (light)

Consumer Goods Group (Non-DuraWe)
Breweries

Entertainment and catering

Household goods
Newspapers and publishing
Paper and packaging
acres
Textiles

.Toys and games

Other Groups
Chemicals

Motors and distributors
Office equipment
Oii and gas
Shipping

MeceHanecaisundassiftad

Financial Group
Finance
Property

Commodity Group
Metal and minerals
Overseas traders

CQNVEKUBLESTOGK
FIXED INCOME' '

urmeir

Kingdom

153
5.4
125 ■

umr

Counties

— ■ C*

BOARD OF DIRECTORS

DAVID MITCHELL COOKE DONALD, W.S., F.C.I.S. (Cha&man), .

8 CrasbySquare* London EC3A CAN .

ALEXANDER KIDD ATTKENHEAD, CA f Belsize House/WestReny, Dundee DD51NF
GERALD JAMES ALHXUO JAMJESON, 8 Crosby Square, London EC3A 6AN
ALLEN EDWARD WYNN RUMSEY, M.C., F.CA.72 London Wafl, London EC2M 5NH ‘
ANDREW MICHAEL USHER, 46 Castie Sheet, &fjnbujrjb EH2 3BR .

Investment Manager
ROBERT FLEMING INVESTMENT
MANAGEMENT LIMITED,

8 Crosby Square.

London EC3A6AN

Issuing House

ROBERT FLEMING & CO. LIMITED,

8 Crosby Square,

London EC3A6AN

Solicitors

UNKLATERS & RAINES,
Barrington House, 59-67 Gresham Street,
London EC2V7JA

Bankers

ROYALBANK OF SCOTLAND,
3 Bishopsgate,

London EC2N3AA

ROBERT FLEMING SERVICES LIMITED,
P&O Building (2nd Flooi% .

‘ 1 22 LoadenhalT Street,

London EC3V4QR .

i

Brokers

CARR, SEBAG & CO.,

Windsor House,39 King Street :

. London EC2V8BA

Auditors and Reporfing Accountant*

ERNST & WHINNEY, .
Chartered Accountants,

57 ChisweB Street
London EC1Y4SY

Registrar and Transfer Office
GRANBY REGISTRATION SERVICE* ’
Bourne House,

34 Beckenham Road
Beckenham, Kent BR34TU

THistees to the Debenture Stockholders
ALLIANCE ASSURANCE COMPANY LIMITED,

1 Bartholomew Lane, London EC2N 2AB

The twenty largest holdings by vahis (unaudited), on the basis set out to ft© Accountants? Report
(Notel to the Baiarxte Steel), al29toDecemt^,198i were as fotows;- . \ • .... .

* rfr fiV i w • ' ;

‘Using

States

1. United Sdanffic
Holdings PLC

2. HAT Group Limited

3. FameftEtectroracs
PLC

4. CariessCape!&
Leonard PLC

5. Barrett Developments
Limited

6. Automated Security
(Holdings) Limited

7. London United
Investments Limited

8. Mercantile House
Holdings Limited

9. Hunting Associated

. Industries PLC

10. Diploma Limited

11. Fuller Smith &

Tumor Limited

12. Vidal Sassoon Inc. .

13. Glass Glover Group
Limited

1 6. Office and Electronic
Machines Limited

17. Hunting Petroleum
Services PLC

20. Hunttegh Group
.Limited

Nbfe; LUK-iistedmUK
LO —Usted overseas
U -Unlisted

(See nets
below)

Cost

£O0O

OnSnsty shares

LUK

St

Ordinary shares

LUK

237

Odinay shares

LUK

30

Gnfihaiysfiares ■

LUK

92

Ordinary shares

UK

' 96

Onfinaiy shares

LUK

8

OnSnatysharas

LUK

S3

OrtSnary shares

LUK

62

Ordinary shares

UK

38

Ordlnaiy shares

LUK .

21

‘A’ OrtSnary shares

U

74-. ■

Comrhonstocfc

U

48

Ordinaryshares ■

UK

28

Ordlnaiy shares

LUK

• 52 "

Ordinary shares

UJK

113

Ordinary shares

UK

- « *'

Odinary shares

LUK

84.

Otfinary shares

LUK

120

Onfinaiy shares

.LUK

62

Onfinaiy shares

LUK

41

1.360 .

ttfc* Pm
£000 of,

107

imesSnafe w uai: Dtaaois^ *1 mm than £500) at; 2911 , DasmbKisw

fn United Kngdon

Adnams Co. Limited— Ordinary shares

Aerospace Enginaeraig PLC-Ordinary shares

Atlantic Resources Limited -Ordinary shares • ■

Barrowmill Limited-Ordinary tiaras • * *.

Debtinaira Limited- Loan 1985

Dettenne Holdings Limtted-Ordinaiy shares " ■’

Equipu PLC— Oidinary shares ■ . -

Equity Finance.Limited-Lt>an 1985

& Tumer Umtted-'A’ Ortf nary shares '

Spanveme Investmante Lirated-Odinarv^taiHS

■-

Trident ComrxriflrSon «« di

Cost :

Dfariotd

VabaSon

,

.. fiaw ..

. £009

• • • >:

-• 24 -

102

27

: 21 :

•- 58 '.v

33 -
. .*5

' ' •

72

. -4

- •

■; 20 , •

V. 16

. -

. 50 "

so

14

’ -r.-9-

32

■■■: 33

■ •• • 50 '

- : ‘50

■

:74 : .

\ :177.

21 /•

•••. 60 ■

: . 10

’ AS\-

'."j,

' 7 '

~ m

• ->■ -

CSV-'.

- 66

v;-

. 65- : r

62

’ =■. r

• * .26

' 9

.

-43 .

16

■5^ '

In UntedStates

1 MED Corp- Common stodc

int-Cornmon stock

vs ■

n?s .- ’

WiSSSKT:

??• Wfidnesdasr-- January 6. 1982-

UK COMPANY NEWS

$3% rise in new premiums at Norwich Union . . .

'IS Mv«k» ‘1-

JaereasB-io ae»
; SS^fa^ Ums on its worid.
yMP 'f®* Elusions -business
525L- ^ 4 - 3ra to ZTZXm^iz
bi^&cS-

f^e msmtana »o Atabr&widc

5““** **■ 16 per «at ftoan

«a*m.to;£72^ r -

*«»■ *!>«*** Higher
«_«3 5m - agaiast- £SH7nu with
«ogd Hfa offset hy

a .Atol peoBtow' snariat: life
*®n'^preaakjm row -IS per cent
™ £36- Tan, •Jafr* aelfieonptoyeff
5“°^ pram4gn*.T0« maxgin-
W from £2Um to £25m arul

i KBL p,, tt2 t»«m'»uns were

;.(Slsto). ^ at ■ £2 ^ lm

. _ Slagle premium business Jo
. toe UK was nearly 33 per cent
vp ■ at'SSQSm (SSs&m). Pensions
Business was much stronger here,
seif-employed, premiums- increas-
tog toom. £4.1m.to £75m. Group
pennon single premiums were
sIXgMJy higher at £2SSm.

Uto group , had a mixed result
,<m .its unit-linked business.
Annual premiums on linked life
’ maffl teg fell from £660,000 to
£300,000, but single , premiums
■rpse.from £7.8m to £9.6m. Annual
•' premiums .on linked ' pensions

business more than doubled from
£600,000 to £L5m.

. Overseas annual, .premiums
were 42 .per cent higher at
£l9.4m (£l3.6m), while single
premiums were over 40 per cent
higher at £9. 6m (£6£m). The
large gains were - recorded In
countries with, strong economics
such as Australia.

A mixed pattern of life and
pensions business is reported by
the Clerical, Medical and
General Life Assurance Society
with annual premiums dropping
slightly from £22.7m to £22-3xn,
and single premiums rising by 11
per cent from £lS.Sm to £17.6m.

The decline came in the
pensions market where group
annual premiums dropped 12 per
cent from £16.7m to £14.8m' and
self-employed pension annual
premiums- by 20 per cent from
£500,000 to £400,000. The Society's
life business had a good year
with annual premiums jumping
29 per cent from £53m to a
record £6,8m.

The pensions market was much
stronger in single premiums with
group pension premiums up by
9 per cent to £l4.6m, self-
employed premiums up by 27 per
cent to £2 Am and directors' pen-

sion premiums 25 per cent higher
at £4J»m.

Total funds In the Society's
Pension Fund Management — a
segregated investment manage-
ment service for pension
schemes— increased by 30 per .
cent to £130m. The Society has !
now launched a managed fund
investment service for pension
schemes as from the beginning
of the year, aimed primarily at
those funds seeking separate
management from that given in
the insured scheme, but too small
for the segregated service. There
is a choice of two funds— a m»r*d
fund and a cash fund.

. . . and reversionary bonus rates are increased

HlGH^RATESOf reversionary
bonu*_ haive been declared for
1981 fcylfafi Norwich Union Insor-
*dce' Gcpnft-pae- of the -largest

mutual Ufe companies in the

UK.".--} •

■The- rate for-todaviduai iifeand
endowment contracts is raised} by
lOp to £4,80 per .cent of toe sum
assured and attecltoig bonuses.
The rate for contracts -taken nut
before 1985' fs increased by SOp to
. £7.50 per cent of toe stun assured
for endowments, and to £850 per
eent of toe sum assured, for whole
life contracts.

However, the company ^main-
taining toe terminal beams rates
at the levels- to which it -was

raised last July— Sie scsde rang-
ing from £40 per £1.000 of the
sum assured for contracts taken

out in 1977 to a 'toaxitoum of

£2^70 per £1,000 for contracts
effected in 1981 or earlier.

The rate for pelf-era ployed pen-}
sion contracts, is lifted 15p to
£5.75 per emit of the basic benefit
and attaching bonuses, with the
terminal bonus scale kept at the
level -fixed toe previous July.

Sun -- Alliance and London
. Assurance 7 : Company, a member
of ' toe ■ Sun -Alliance Insurance
Group, Is also keeping ats bonus
rate unchanged for 1881 on
individual life policies, at £4 per
cent- of: toe sum assured and £6
per cent of attaching bonuses.
It is,, powever, increasing the

rate on its wife pro® pension
contracts to £4 per cent of toe
basic benefit and £655 per cent

of attaching bonuses from £3.85

.and £6 per cent respectively.

The company has also sub-
stantially increased its Capital
bonus rates paid on. claims
arising in’ 1982. The new scale
ranges from £2.40 per £1,000 of
basic . benefit after 10 years in
force to a maximum of £15 per
£1,000 far 40 or more years in
force. The previous scale ran
from £1.60 4o £12.50 per £1,000.

Scottish Amicable is -increas-
ing . its rates of interim
reversionary bonus, ahead of
the full declaration for 1981
which will toe announced at the
end of March.

On toe main individual life
contracts, toe rate is lifted lOp
•to 54.50 per cent of toe sum

assured sod £5 MO per cent of
attaching bonuses. On toe second
series PI endowment, the basic
rate as Improved lOp to £430 per
cent of the sum assured, while
toe rate applied to attaching
bonuses ds improved 15p to £6.50
per cent.

The rates for Flexipension and
Superannuation ( Second Series)
are increased toy 20p to £4.60 per
cent of the ibasic benefit and
£7 JO per cent of attaching
bonuses. On group policies toe
rate is lifted 20p to £5.50 per cent
on toe benefit secured.

The company is however
keeping its terminal bonus rate

unchanged at the levels
announced last October.

Higher reversionary bonuses
have been declared for 19S1 by
the Medical Sickness Society on
its life and pensions business.
For life policies the rate is
lifted 25p so £5.25 per cent of
the sum assured and attaching
bonuses. However, the terminal
bonus rate is main tained at 25
per cent of all existing bonuses.

On personal pension contracts i
taken out from April 1977. the !
reversionary bonus rate is in- 1
creased 50p to £6.50 per cent com- :
pound. But the vesting bonus :
rates are lowered by 2 percent-
age points to- 63 per cent at age
60, 53 per cent at ago 65 and
43 per celt at age 70.

Mersey Docks further payment

BY RAY MAUGHAM

The Mersey Docks and
Harbour Company is to pay a
further 2p per £1 unit to holders
of toe subordinated unsecured
loan stock.

The payment which wall be
made following pu bl ic ation of
toe accounts this summer, brings
toe total redemption so far to
lOp per £1 unit at a cost of just
over £2m. The loan stock was
isued on 1974 in accordance with
the capital reconstruction scheme
whose provisions required that
all' net proceeds -of land sales
and part of any profits be paid
into a redemption fund for dis-
trfimtion to stock holders.

Faced with falling volume
and toe consequent need to make
cosily severance payments,
Mersey Docks has been losing
heavily in recen tyears. In the
nine years to 1980, the company
had lost some £26m largely as a

result of redundancy bills. In

toe first half of last year it in-
curred a further deficit of £2.74m.

But toe price of toe stock
-units has fluctuated wildly since
1974 and were quoted yesterday
at 21p against a low for last
year of 6Jp. The Government
controls 20.57 per cent of .the
stock, clients of London stock-
brokers Greene and Co and
Walter Walker have substantial
holdings and- Mr David Abell, a
board members and toe chair-
man of Suter Electrical, is
another major holder.

The disposals effected last year
and those expected in 1982 stem

from the land vested - , last June
in the Mefseysidfi Development
Corporation (HDC) for which the
docks company' is now negotiat-
ing compensation.

Advance payments for 6.64
acres in Sefton and 19-44 acres
in the Wimd, at £144,000 and
£202J500 respectively, have been
received representing 90 per cent
of the valuation given to the Cor-
poration by the district valuer.
Mersey Docks is still locked in
negotiations for compensation for
400 acres of land in Liverpool
South Docks. The resultant pro-
ceeds. however, will not, under 1
the terms of the loan stock deed,
be payable before 1983.

Opinions vary considerably as
to the final settlement of the
South Docks valuation. ‘There'll
be .a riot if the board agree to
lOp per stock unit— or a little
above £2tn — for the 400 acres, *
says one 'investor. Top estimates
give a possible redemption sum
of 30p-35p for South Docks.

Relations between the Mersey
Docks board and toe advisory
committee appointed to supervise
the loan stock redemption have
been strained in the past by the
question of rental income. Stock
holders have pressed for dis-
posals wherever possible or for
the distribution of net rents
where land has been retained.

The powers given by the
Government for compulsory pur-
chase by the MDC have resolved
the dispute, or the large part of
it. in stock holders' favour but

BOARD MEETINGS

Thu following companies have notified
dales of board meetings to the Stock
Exchange. Such meetings ere usually
held for the purpose of considering
dividends. QHionri indications are not
available as to whether dividends are
interims or finals and if ?a subdivisions .
shown below are based mainly; on last
year's timetable. .

TODAY

Interims: Brown and Tewae, City of
London Trust. Quest Automation. .Tech-
nology investment Trust.

Final: MtCorquodate.

FUTURE DATES
Interims—

Allied CoRoid* 'Jen 13

Burt Boulton Feb 5

Fitth Lovell Jan 28

Nawmark (Louis) Jen 21

Regional Properties Feb 1

R eaten or Jan 18

Ssmucf fH.J Jan 11

Thorn SMI - Jan 14

Wigfall (Henry) Jan 15

Finals—

Associated Newspapers ........ Jan 14

Set: B*W Jan *2

Claverhouse Investment Trust Jan It

Derby Trust Jan 21

Ley’s Foundries & Engineering Jan 8

M and G Dual Trust’.—... Jan 13

Oakwood Jan 12

the company still holds certain
laud and properties, such as the
Albert warehouses
Tu the meantime, the Govern-
ment has insisted that Mersey
Docks. like its London counter-
part, achieve a break even posi-
tion by the end of this year. In
return the ceiling on financial
aid to both ports will be raised
from £2 00m to £3 60m.

GttSSN

i?, sc2yaei

553

v^_Sr<

5 teasa
•’•'icV

t:

—i

; JtoBS&P

W 5S

Hedgellllg Investments Public Limited Company

v ^ ' " DIRECTORS

TflcDonak)(aged 67X a Director of Robert Fleming Holdings, has been largely re sp o n sbie for the
uweshrwrt [portfolio of Ftadgejktt since it commenced business in 1962, and win continue to be so in his
c^ja^rasidlnt^wift^ttw Robert Flerwig Group *hkdi he joined in 1860.McAHkerboad (aged 66)
tSrector of The first Scottish AmsrfcanTrust Co. PIC and of The Northern American Trust Co. PLC.
^ ofyWto ^ »miflcant sha refroger s of fiedgefing. Mr. Jamieson (aged 56) is a Director of Robert

AiSSXnerican Securities Coloration PLC/ which is too largest shareholder

(a^ed43)te Secretary at ih& British Investment Tru^t United, which is a significant shareholder

• investment management

„ : Robert Renw^j Investment Management and Robert Reming Services have ertered Into an
< qwementwto-Redgel&>g datBtf2efi)May 198r(effective 1st Apnl.1981) under which Robert Fleming
tavestmert Man^ement ads-'as investment manager and Robert Fleming Servicae ads as company

vided by ; Robert Renting fhvestmertAflanagerhent and Robeit Fleming Services. For tha year erxSng
31st Modi, 1982 fin fee Is to be at the rate of £20.000 per annum and will be reviewed thereafter on
Wfa H cfoach yoaz OulxXthetoe receivod by it, Robert Fleming Investment Management pays a lee to

and Robert Renting SenricwinSepwfcmiance ^ot their duties are fK^^^Iedgeflrg.The a^eemwfi
canbe tarmioa ted on two years,' nofice. . .

BcttRobert Flento^ Investment Management and Robert Herrmg Services are wtaftyovvned
stdiskSaries of Robert fiemc^ Hofcflngs. Robert- Honing investment Management is the Investment
management company of the Robert Reming Group end administers, on a discretionary basis, and
adobes’ fcnds- with an ag graga a vafOe in excess of £3 bHBon. Robert Fleming Services provides
aecr rtaria l anttadmWstiaftresenricee to a large nuraberot Investment trusts.

DIVIDEND POLICY

-DMdors krtendj in thodbsence d urfioresesn circumstances, to recommend a dividend of 2/l75p per
Qrtinaty^re ffli e be pddkr g fiiekite rtonof tha

’ »“•' r-c . A

TAXATION . •

edgefing satisfies the conditois for

-• -iheffireclbrsinlehdtDanstiFBihdFleddeBngsatisftesthecandltiaisforapprovalasaninveraiient
trust laid down in section 359 if meTaaeaActt970 (as amended) and intend to to the Inland Revenue

iarsLchiqpproval. ff such approval is granted. Fledgeling w B, ass result of the provisions of the Finance
ActTfl80,bo eora mpt fr em corporation taxonits capital gains in ail accounting periods lor which approval
feobtained. -- .

. _ The'mcome rfFtedgeftig (InckxSngTncorne arising outside iheUrited Kmgdom) wSbosutgectto

to wafthpfd&ig taxes at Vaowg rates butdfiuble taxation /irtef vyffigi

1,-. T]"StwrehoWereInFtedbefingmayt»ri^toUnitedlQngdom«
iaif^pjmthedsp^aftnetsharesinnedgellnganelnSnotbe

ACCOUNTANTS’ REPORT

generaOy.be avafiable.

pmstaxon
toanyt axe

respect of

The foSay^bacxwofere^vdvdi has been mceivBd from EmstA VWnrmyi tteaurjjtuaandtepatiog

Hwrtng&CpJjniiled

5m JiBXsiy 1982, vro have tevtowed tha
inclusive and for Are six.

Ibetiirecfois.FtedgeSngInuBstniertePultetjmted Company „ ,

orrilbBORacSDa^RobertHatra^OpJJniitadj ... 5ft January 1982

Gertfomen.

. A - introduction ' • •

. in connection wlfttfiwpiopdsedpUMcnladng of 2344.600 Oi
fi^tArittedCompBnyt'TlBdgeHnglSBtouttriltwpfDsoedustobe
1 uudtod accourts of Ftodgalh*^ ror each of the yoare anc
nxxrtw ended ZTstJulyi i8B1.1h»».«»xjrts have been
e«icttxsofRBcigrtng.fliroi^ckitihlspflikxL- - -

- H)erevwxiaandcaplWaccourt8,1heWlancesheelandffiasouiueandap|iicafioncrfftaTdB8etouthakiwh;we

b*«n ctarfved ium lha aixftsd accowits. adusfed as we conditer appropriate. In our-ocWorvine mtoimatlon shown
bebwdyssatnJB and WrvliBwoffiwssaaeof^fcsrtFlaigeling at 21 si Juhji 1981 and ol its natwanua and source and
appfcacfcnoffunctsftirthe^afidan^ysafseTflnendeil •

' ■^ CC Thy«TOw^igpcfloe» : wMcft have been cqn^BtetoyappSed&iartMrg^gietinandallrfeanafion sat outln
.IlibrBportweastotows:-

. (DITib accounts 8 ju prepared undartfieHetaicaf cost convanUon.

(11) investments sra stated at dost Iws provWon for any Vwosunonl «*wb dferfinufion in vakieis considarad

B«nTwiahLTba<»6tolfbi8lgncunwTi^lrwMtmeriSlMlatadlnsJeiSngattheaxchangeraiati4lngatthedat80llx«chase
Krarag,wh6re«ppIlC8bfe J fii8 eurreneypramlunibaid. .

sn Profits and losses arising on disposal* ct jnuBBtmsofs, related taxafion charges, together wto sindiy
«odw^)e Ajustmarts are dBatt wWi as cs?«al trarwactkina.

tiitemst bayabte and expenses of mariaoanKW ve thuA wfth on an accruals baas. Inte®6t, MdendS and
cou mfaai on s nvnimiM are indudadln iwnue accowgqjvtttheaxtartto which they have baaniecavadlntliapailod.
• -MNo pixjvfajon is made in respect at twaflaii or expenses wWch irtpht have^ ^resuBed fieri a safe of
.tawibwmrtite end cSte retovari acoounting pwtat

MMMadcedinooim-iBMudadh rwenue aofiduntgipssbe&redaducaion ctf inmmettx, in fis cased

ta*Bdmcpc>^reIaiBd lax ctwSs have been addedto and are mdutferfln the tigwaa presented -

BKhar^raiKptBvaltagatfiwei^olt^rBlBvartaawmft^pedai.

2jaJmaav .

$ months ondsef

zatM/

Grass tauanua
'RantodteMms
UuhnksdtKonf
Dupceftintaast
UndowSr^comrrfs^xj

Bosoms'-:-. '

Management BJqswwas
l(donetmdebtttura$tock.
Awtorffees - ..

Interest on ovenkaft .
Dredora'iaes

NetrevsrawallarisxaSsn ■’

Dwidand cd oatoay shoes

Surplus tevunua far poW.
Batanoe bro u ght fotwoti ;

Batoice carried forward

aujflBdaccounte)

Note 2 toll®

Balance

note

TMCfllON.

2J5p_ SJ97p

133p 1S9p

Ktranfad

WdCJaaOPf

T^rahtfagtofrenlMdtone
CopwOtantax .
FbatigataX

RdWfcfkra^iax

rare

- 1879

7397

£000 .

£000

BXQ

86

96

ID 7

—

— .

<?

. — •

r r

a&-

• . 06

- 10.1

66

Ha nt 5200

96

rceriL

101

emonthsended
ZiziJdv

tgsi i&t

£U0O 2W

120 53

6 ■

2 2

MB • - SB

i2) m

126 54

O.CapIta) Reserves

The capited reserves of Fledgeling tor the periods under review were as fottows:-
• Marondea

6momteendaci

NO prrfh Itaas) on reafeafon of
investments

Gams flosses) from currency
transactions

Provision for any jnvesfrnenl where
dtmnution in vOue is consMerad
permanent

ProvBion far tax on realised capital gains

dosing balance

E. Balance Sheet

The balms sheet d Ffedgefcig at 2tstJuIx 1381 was as kflows>

STsrjanuarv

ZlitJuf/

1077 .

£000

(405)

7978

£007

(594)

1*79

nwo

(276)

1980

soon

(120)

7937

£000

255

1981
£0 00
548

1172)

324

IS

378

440

195

(1)

(5)

1

(1)

1

3

(1?)

(4)

1594)

1276)

TTgoj

255

(93)

155)

548

(53)

688

ATS&Jifymt

rtwi tfryi

timfinsnls fatcosfl
Usled in Great Britain
Liaied outside Great Britain
Unlisted

Current assets
Bank balance

CiHient SabiGrios
Fuujrsseataments
Ctedtors
Taxation

NstcuRBntSaUOtiss

Financed byj-
Shara capital
Share prermum
Revenue account
Capital reserve
Sharahokfertf funds
Loan capital

«D7ESr

lINVESTMBnS

Thevekrationofinve8iinenlsef2tOJbIy'196fwasastbBOws;-

Uried on stcxS: exchanges In Great Britain
Usttd on stock exchanges outside Great Britakl
Unlisted

Lefedinve3fmeniEhav8beanvaiuedatm!dcfiBniaifca(pricsardo5ingprices.UiBsladimBstmentshavebeen
valued by tha Directors.

2SHAREGAPTOU-

TbesharecapBald Ftedgefcg M2S*M% 1981 was as foilwre:-

Mtorised Issued *xi hBy p ast

Atanber SOOO Mntar BOOO

Oidmoy Shares of 25p 8jxn,000 2/Xio 634.740 1.571

On 5th January. 1982 Ftodgafing increased its amhorised share capital and madeacapitaBsation issue of one
share for every one stare haid.iis share capBal is now as loBows:-

Antafcerf Issued and Mty pad

fSmPer COOO MrnOer £000

Ordinary Shares of 3p 1330.000 330 12,569,480 3,142

The c upWoH i ton issue was made tmm the whote of the share premium account and tan part of file capital
reserve.

3 SHARE PREMIUM . . . ,

the share ptgtmim w a s rapknfisnrt as described fa Note 2 afaowR

4 LOAN CAPITAL *• . . . .. _

Tha £500.000 Btl par cent debenture steck^ 1988/93 Is secured ty a floating charge on Redgelintffe assete.
The whote or part i^lhiBdebentwe stock may be redeemed at par on or at any time after 2istJanuaqs 1988 i^xxi three
months’ notice. Stock not praviousV radeerued aha# be nspaJd at par on 2Jst January 1993.

£ COMMITMENTS

At2lstJul«198tRad9eSng'scornntifmertsonimderwiffinga™xHfiBdtb£423CL
F. Source and Application of Funds

Tha source and ^yticationofftgidsofFIec^Bflngfbrlhe periods uvler review were as fallows- •

Veerended .
2ist January

7978

1979

1980

SOOO

£000

0X0

£000

215

253

259

35 1

740

-B94

751

1,163

(1)

(6)

1

(1)

954

1,241

1,021

1.513

94

104

■tie

129

67

74

96

101

639

1,274

STB

1,176

800

1452

1,090

1406

154

(211)

(69)

107

- — ■

—

'

73

(58)

139

1?

(177)

(8)

(61)

15

*

154

(211)

769)

107

emontosmded

ZtstJuiy

5987 7987

Source of funds
Profit before tax
Sale ol investments
Cusency profit (loss)

ARjficalOT offends
Dividmd
Ttecatai

Purchase of kwostmerts

Increse rdeensase) EnGqukfly
DaMore
Credaore
Cash

GLAccounfs

AudBed aocountad Ffa&toB have hot baaoprepasd in respect of anyperiod subseqiantto 2lst July, 198L,

ERNSTAWHINNEY,

Chartered Accowaanii

CTATUTX ^ AND GENERAL INFORMATION

1. The Company and fts Share Capital

f Fledgeing was in corpora te d as a privds company on 30th July 1555 undar the Companfe Aai948 sn d frie

the Conpanies Act I960, With effect fnxn the same date!
oflhatAcJ.

was re-registered as a pubfic Imitedcornpany wider
I became an investment company wimlnBiemears®

knmaSaleiy prior to Sffi January 1982 Sie aullioifeed share capital of Fledgeling ^ was £2,00030 dwidsdinjo
8,000,000 Ordrory Shares of 25o each of vyfiB* 834JUO had been Issued and were fuOy paid up.By or pusuart to
resolutions p^dd a an Bdraontaaiy Genera! Meeting d FtedgefeiH hdd an 5Bi January, 1982:-

(i) fheei4horeedsharec^]lalwastoBasEdlD£33O>OOObyth0craetioncrfA2OOiOOOri»vatliriaqrShwesiti

2Speato;and *■

ffl) Bis sumrt£1ffl1.18S faetoEf, 244.468 bahHlheamountstandra to theoedHot Share Premkimaoc rontm d

as to the balance bong part of the Capital Reserve cf RBdgeSng) was caf«alised and 6.284.»4Q Onln»y
Shwas ot 25p each were aBotted. credited as July pod, to the osbiig Oidmaiy Shweholders n pn^ortai to,
ttieir holdings.

Save as dteteed herein, wifrmi fee twpyaas fa wetfaMypracadtog the date of Ms document, fl) no &*feoc

loan oapttalolRedgBkTg has been issued or is proposed to be tsajed,luty or partly p^, for cash or crtherviwearrifN) no

comrrteiona, discounts, brokerages or other special lams have been granted by Fledgeling in mmecton with me
Issue or sale ol any share or ban capfea) of Fladgefcig.

NosIwretviiancapitalofRedgBSngbincferaplioDoresiMdcoirani^a-incondlSxH^

qpfixt 4 b i -

Sui^asbfllo^fiBDirBttore have been unawatxia^au&KxisedtO0lWupto£t57^inira»rdaii^

gsnerei meefrig.The authority wfl e>Sre on 3h Jaiuary IWTWien It is renewable) but may be revoked onjaned
fte company in general meeang before that date.^ The provisions ot section 17 (1) of the Composes Act 1980 wu not
epffytoar^afatmsrtmarfe under the ahova authority. *

No Issue of shares of Redgeflng for cato (caher than consequent ipon an offer to shareholder pro ratatoSi*

susltog shareholdings] and no material issue of shares of Fledgeling tor a constoerauon other than c«h w« be macb
■wshn one year of the data of ihsdocument wrtfwjt the prior approval ot the company in general meeting.

approval cf the contoanyingoWainieBaflg. t

2. Artldes of Assoc&fibn

7teArifci»ofAs50daiScnofHac^B^conIahrwi(feic«s/^afeJto^SsSoii^efiett^j ^

(i) The pfrectareshal establish a Capftal Recava fend and shall cany to such reseive any capfalapprecfewii
reaSsod on the eala or reefisation of any capital assets of Ftedgrimq fora consderawn in excess of book vate
end any ottw suns representing acuetons to capbi esstoThe Capitel Reserve fundshall not be iresied as
repreesnting proto avaSabie for dsWJrttan.

On a show of hands every member present in person (otUa corporation, present by a duly authorised
representa>ive],and entitled to vote, strati have one vota and upon a pod every member present in person or
by representative as oforesaidcrbyproxK and entitled to vote, snaD have one vote for every share ol whets he is
thehotdec

ADtrectorshaH not require ashare quaKcalion.

fa) Save as p ro v ided betowt a Director may not^ vote in respect of any contract or arrangement hwhich he has
any mteenal interest other than by virtue of his interest In shares or debentures or other securities of or
otoerwtse in or through Rertoefing.ADirector/tiay not he counted in toe quorum atameettig in /etationtoany

(bl Sub* 61 * to toe provisions of toe Companies Ads a Director shall fm the absence of some other material
interest than is hxficaied betowj be enttfed to vole (and he counted n the quorum) in respect of any resolution
concerrang any d thetoOowmg matters, namefy:-

fi) tto griring of any secwiiy or indernnriy 10 Mm in respect of money isntorobtigalibns iricunsd try himet ihe
request ol or tor lt» benefit ol Fledgeing or any ot its subsidiaries;

fill the giving ot any security or Indemnity toa third party in respect of a debt or obligation of Fledgeling or any of
its subskSaries tor which he tumsdt has assumed responsibility in whole or in part under a guarantee or
indemnity or by the giving of security;

Hi) any proposal concerning an oner off shares ordfibenturas or otbersecurifei of or by Fledgeling or wry of
its subsKtiaries tor ajbscriptian or purchase in wtveh offer he is or is to be interested as a pariiopant in the
underwrfttogorsub-urrdeiwntingihereof;

fiwj any proposal concerning any olhercompanyinwWdtheisInlereMed.iftecBtfOrintlirecByandwhelheras an
officer or shareholder or otherwise howsoever; provided that he (together wah persons connected with him
witon the meamr^ of section 64 ofthe Companies Act 1980) is not the holder of or benerciaHy Herested in one
per cent or more of the issued shares a! any dassol such company (or of any third company through which his

interest is derived) or of fire volinq rights available tomembere of the relevant company (any such interest beiqg
deemed (or toe purposes hereof to be a material Interest In all ceeumstances) , I

(v) any proposal concerning the adoption, mortification or operation of a superannuation fund or retirement
benefits scheme under wheh te may bereft and which has been approved by or is subject lo and condnfonal
upon approval by toe Boanj of Inland Raven ue for taxation purposes or of any Employees' Share Scheme, as
ddinedby section 87(1) of the Companies Act 1980.

(v) Section 185 of the Conianias Actl948. reiating lo the retirement and reappointment of Directors who have

attained toe age of TO, snati apply to Fledgeling.

(yi) The rCTXineretion of the Directors for acting as such ritaB bo such sum as may be determinadbythe company in *
general meeting. If the period of sendee s less than one year the respective remuneration ml he reduced
prorata.

(vn) Dsectorashafi be enffied to be repEdd an reesonafate expenses Incurred In or aboutthe performance of their
duties, todutlng any expanses incurred In attendng meetings. Any Director who in toe opnnon of toe Directors
undertakes tasks outside toe normal duties of a Director acting as such may be paid such additional
remuneration therefor as the Directors may daierminQc

(vn) The rarectara may pay pensions.or other rearamenr.snjerfflinuation.deafitorcfisaWjtybenefits.loforto any
person n rasped o0 any Director or ex-Direclor who may hold or havB held any executive office or ary office or
place of profit with Rsdgeing or any of its eubtedanee.

(be) Tha Directors may exercbe all toe powers of Fledgeling to borrow money and to mortgage or charge fls
undertaking, property anduncaledcaprtal. audio issue debentures and Dther securities, vrtKther outright eras
colateral security tor any debt, DabHy or obigation of Ftedgdng or of any third party; provided that toe
agepegate pmeroal amount aulstandng in rasped of borrowings by Fledgeling and/or any of its subsidiary
companies (exclusive of totra-group borrowings) shall not at any ume without toa previous sanction oi an
ortlnary resolution of Fledgeting exceed an amomt aqua! lo the share capital and consd idated reserves (as
defined in the Ailides).

3. Directors' and Other Interests

A. (a3 ThebendidalfrteresfscrftheDirecforsin toe bared share capital of FledgslingimmsaTal^y a fte r complErtiori

of fiteFtackg Agreement refemsd tokipara&aph4t»loiv will be as folows:-

At cost
£000

Atvokodoa

am

DALC-Danakf

Oitftrsr/Shaies

4,000

3,099

8,137

A-K-Artkenhoad ■

2,000

522

919

G.J, A. Jamieson

4,000

8U

1230

AE.W.Rumsey

2.000

4,432

10286

AM-Usher

Nn

(b)Sharehoft£ngs representing more toanfivopercanLaf the isfiiisd share capital of Fledge&tgiinmediafely
aBercomptafion of toe Placing Agreemanf wilbe as toftms:-

AngbAtnericcn Securities Corporation PLC
The First Scottish AmencanDustCa.PLC
Robert Fteminfl Investment Trust Ud.
NCLomhard»eelNominaesLfcl
The Northern American’ftustCo.PLC
Posstund Nominees Ltd.

Ordinary Shares
3,01B,000
800,000

642.000
1,050,000

900.000
8GO.0QD

ftafEemaa*
24 J)

64

5.1

8.4

72

64

fc) Apart from the takings eel out above and toe interest of Robert Fleming arising in consequence of toe
Plating Agreemert. toe Dinedors are not aware any sharahokfing whchwil represent more toan five per centofthe
Issued share caprid d Fiedgefing.

'B- (a) None erf toe Directors of Ffeifeefing has a servtoe agreement with Fledgeling and no such corfraas are

presentty proposed. Fbrttta veer ended 21 st January; 1981 the aggregtee emobments of the Dfrcdore were £4 .000 and
under the arrangements in force at the dale hereof tharamohinents to toe ament financial period are £4.000.

(b) Me D.M.C, Donald and Mr. a J. A. Jamieson are Directors of Robert Fleming Holdings, which is tha holding
company at Robert Fleming, Robert Reming Investment Management and Robert Fleming Services. De tarts of the
arrangements between Reageflng and siioh companies are set out In paagraphs 4 and 5 botow Robert Fleming
HakOngs is also the taldng company of Robert Flening investment ThistIJiTMecL

(c) Save as aforesaid,(i) there Is no contrad or arangement subsisting as at toa date of tote document fet which a
Director is materially Interested and which is significant in rdation to the business of Redgdwg and (A no Director has
any mtarest.<flrect or Wired, to or in toe promerion of any assets which, within toe two years preceding the dais hereof,
have been or are proposed to be acquired or disposed of by orteased to Fladgafng.

4. Placing Agreement with Robert Fleming

By an aryeementftta Placing Agreement*) dated 5th January 1932 Robert Fleming has agreed, subject lo the
whole of the issued share capital of Ftedgefrng being adnitted to toe Official Let rot later toan 15th January, 168Z.ID
purchase 2344,600 Ordinary Shares of 25peach at a price of 58.03p per Quinary Share from toe shareholders of
Fiedgefing named betow ftto Sailing Shareholders') of which 1 £22300 such Shares are part of those addled bv way
of capitafsalion of reserves on 5to January; 1982 and 1 ,022^00 such Shares Hhe Regfitered Shares') are registered
in toe names of the SefSng Shareholders, and to effect a placing of al such Shares. Under toe Ptadnq Agreement toe
tihectore of Ftedgding have given Robert Fleming certten warranties concerning toe affairs ot Redgehng. The Sel&nq
ShareboMere are rasponsiate tor the payment of stamp cfoty on toe Iransfere of toe Registered Shares 10 toe purchasers
trom Robert Fleming or that renouncees. Under toe Placing Agreement Fledgeling wit pay the costs of and incidental to
the preparation, printing, pubScaOon and advertising of this document, toe increase of Fiedgeting's authorised share
capital, amendment s to toe Articles of Association, and aU accountancy expenses. Us own legal expenses, a lee of
£gJ00 to Robert Flemtog and toe fees payable icrtha Brokers and TTw Stack ExchanoB.Theseexpenses are esfmaled
to amount to £100,000 exdudve of VAT.tn adcftlon. Robert Flemfeig is enffitecLIor'eadi Ordinary Share placed, to retain
the dfere n ce between S863p per share and the price per share at which the Oninary Shares are placed, outofwfach
ft afl paya e prorofestontotoe brokers and its own legal expenses.

NmeetShereMden titmberaf&r&aiy

ttanborotOn&ianr
SmenScU

The Guardan investment Ihjst.pte. 100.000

' Lpndon&Montroaa Investment Truetple 263,000

The London and Prowicial Trustee 526.000

NatoAilsnlteSecuritJssCDrpoiailiQnP^ 730,000

PosstundTrusteosUn 200JXJO

UntedBritehSecuritiesTrustple £25,600

The sfraros being sold by FtossfundTnistees Ltd. are registered in the named Possfund Norwiees Lid.
5. Material Contracts

Ho taHtin the two years precedkig toe date of this document and are or may be malerial.-
(3) Aoreement dated 5th Januaiy 1982 between. tea Selling Shareholders, toe Directors, Fledgeling and Robeit
Fleming, being the Plaeng Agreemert referred lo taove.

(b) Agreement dated 26to May; 1981 between Fledgeling, Robert Flaming Investment Management and Robert
Fteming Services irtwrebjc-

(j) ItobertFlenAiglrweameriLManagement has agreed to Was investment menagerie Fledgeling far a fee
payable quartatyin anBars-Thelee fe£2D,000 peranrain,5it!ject to rsviewonlst Aptil.igsaano annually
thereeAec

(z) Ftobert Fleming Seivicas has ayeed to act as company secretary and provide secreiariaf.atfoiHstra fa re
and accounting savfoes to Hedgafing fara toe, payabte ow of tte stare-mentioned fee payable toRotert
H oming Investment Management, in an amount as agreed between Robert Fleming Investment
Managemaniand Robert Fleming Serve*.

ftS) InadtSktotofite above-mentioned fees, Ftedgaftig has agreed to pay professional fees properly inclined
by Robert Renting Irjvesfment Managemontand Roben FwnngServicesn tha perforrnanca ol therduftes.
TfB agreement Sterminabfe t4*« toe givfog of not less toan two yBare'notice by Robert Reming Investment
Management or Flodgaang. FtedgeSng may torrmnatfi the agreement by shorter notice rf it pays to Robert
Fleming Investment Management a sum equal to the remuneration payable lo Robert Fleming Investment
Management imterfi»agi«fflDnttor tteiwo yaarsfrom tha dae'ofttia notice.

6. General

A. Fiedgding tend engaged n any OigBiion and doss net hare any data of iTOterial important pending or
threatened a^enett

B. Ernst SWrtnney have prenand have not withdrawn lhair written consent to U 10 issue of tfisdocunient with the
inclusion ol their report n toe wm and context in which It is Included.

C. copies of the alxwmon«r^cor«STiLastafef7iert of ttaaeflustmartfs made by EmstS WhitTO'/’inamvirwaf
fiw Rgures set out in their repot and the reasons therefor raid toe material contracts listed m paragraph 5 abewe v«re
attached to a copy of this docunent togaiher with a copy of the placing totter and toe toon of acceptance issued b/
Robert Fleming in connecboiivrththe placing and have besnciefevBred to the Registrar ofCompanea for registration.

D. Robeit Renting, registered in England No. 26251 1, has 8s rostered office al 8 Crosby Square, London
BG3A8AN.

EL No pat of the proceeds from toe sale of the shams cf FTadgeing wB bo receivaKe bv Ftectefing and,
acconSngfK no sunsbeffig raised tetite purposes specified in poagraph4 of fi» Fbwfii Schedule to the Companies
Actl948.

E Fbrtfepupos8sofpaiagi^5oiiheFbUfeStihediti8tolh6CoReanfesAct1946tii9sife»ipSonEsisv^I
Open atlO^O am.on llto January. 1982.

G. The Dkectois of Ffedg^mg have been advised that since Fledgdhg has never been a close company no
material liaMty lor suiax ortor income tax as a rest* of the apportionment oi Redgeiings fncometo its sharetatdere is
Btefy to fail on FiadgsbQ, and haw also been advsed lbs no m^nal fiabAty lor estate duty or capital transfer tax is
IfceiytofaS or Fiedgefing.

K The tofiowing documews orcoptesfiierKrfntay be tomected aithe offiew of Robert ftemhg.8 Crosby Sqaara,

lixidon EC3A 6AN during usual business txxireon aiw weekday tS^wdays excited) torapenod of tomtean days
fromfis das otpubficanon of this docunanc-
(a) fi» Memorandum anclArtlctes of AsstxtiaJion of FJedgeEng;

® toBarcgtefa^xfffe of Hedging for the two ffriandaf years erefedSist Jamsiy 1361 and fgthesfctnonfiig

(c) the material contradsnafatadto to peragraph 5 abora: and

. (d) fin report of Erri&Whinnexlhefrstatemert of a$jstmenl3 and thairwriBen consent 5fhJar«ianfi19ffi

1 ■
i

18

UK roMP ANY NEWS

pal ■

Companies and Market*

bids and deals

mining news

Anglo restores
Minorco stake

BY KENNETH MARSTON, MINING EDIT0 * remai nin K 75

THE MAJOR "shareholders io a i the iW- hdd b v Anglo

fte Bmnuda-hased.BHoeraJ. and American andDe WJS

Thir MM®* IS. SllSm
(iSm) of

Amencan. De Beers ^

Institutions invest £2.4m
Isis buy-out scheme

^ce^nLtion^aorco)

have, now restored the level oi
their holdings fol _ lov ™^ w wch
ISd^e^^nfS

“S^jtfSSSS ^" C ».ed Mining

^" c * nt of M “St°’aSd ^Meanwhile. Minorco
cent

has

has 42 per cent ana meantime. , * — T1 s cfinm

SEwS* on 10 Per «^, pt “St’VuSjted^

reetwacion ag^^e the procMds^v.^re U> w _

tire toldrags etemsrom^c --v, clpaily fof there pay

3SSnSS2s*s

Mf^U^nOhe on Page 19.

Haoma-North West deal

liaUlU Haoma NortJl west Oil and Gas

BY DUNCAN *CAMW£U--SMITH

twiclVE MAJOR institutional

issi

vertible preference shares to

ertSS M.Th. Nfehungole. “e

aty investment services Si P
will maintain a secondary market
starting today,

The equity has been rtruc-
tJS to give Mr M IJgj
tcie's chairman. and pis iou*
SteacSs 51 per cent of the

sssr^SSr

pany. Isis Industrial Services.
The dozen innteUonB.hdude
Citicorp Development
the pension funds

Capital,
of. the

The scheme has assembled a C oal Board and the

»ntoi nf Fii.Sm to finance tne pur nfRce. Norwich Union,

totai ofJ^miP^ of con . Post-Office^ md Scottl5 h

busi-

«k.

is a

^TAT^mng^heen

attended to Janna^ — - «vninratinn nroiects through

caused by postal

and the

extended

for delays
strikes in Australia
Christmas holidays.

The merger terms are
TTaoma Gold shares for every ten.
North West Mining- Acceptances
to date total just over 70 per

deluded m the merged assets
of the two companies
per cent interest in Strata oil
aid an S.2S per cent holding in

Griffin Coal Mining.

Meanwhile, Haoma and North
Wept report that they are cur-
rently negotiating to MHfteir
interests in the jointly-owned

sas exploration projects
its membership of a ““"prog

comprising Taylor Woodrow. Kio

Tinto-Zlnc and Canflecca
Resources.

Among the eonsorriuo-*
rent exploration projects * the
Hatfield Moors No. 1 W ^L]{}
Yorkshire iff which Haoma North
West Oil has a 13 per cent »n-
terest This well recently suf-
fered ’a gas blowout atl.WWfeet
and subsequently caught fire.

A team of American oil and
gas well fire-fighting wculj*
has been brought in to bring the
fire under controL

chase of the Isis group

nSses° from 4 o2 wl Dominion,

S Five directors of Isis

artasK** 1 ?*.

S.’jasufffli

of tie acquisition and its
expenses.

Lloyds has also provided > the

group with overdraft facilities

It £2.5m. As a part of the re-
organisation.. which was com
pleted an December 31. Ins hns
also acquired for -£l./m ■* terge
fleet .of fork lift trucks from
Greenham (Plant Hire).

Paget builds
up its stake
in Sangers

«»*

much as 50
ordinary - equ
in the event
profits, see

x. W. Ward
answer to
RTZbid

■ u e*rnnc corformahce for Its

rejefe- of the fllla t^e^ver

offering
is

-.yV'vV- -

vras *le to turn .Dura
thv FIRST accounts fcr Aw .'jSSLiiniiities round from losses

Equitable

•sgLfSStt “OWE

[tp dU u. DrnuL>, DCT5 . ^...L

Their preference convert their stock

ordinary

also he

shares

traded

ffuiir W feins topper

^ftsassag."

shares from mid-19S4.

pre-tax profits falling to El.lm in
ET TO last March, against

in

in

Isis 'should
a market

p

mat"

xrrZ's present aid,

I 9 to cash per TVart share.

d£? ^ « • Taauar? R 4

iPore Christmas. 5J*
a™ that it had so far
d acceptances ou benaif
per cent of Ward's shares.

Ward is fnrerasiins a 3T Per

cent 'gain

Mr Peter

£810.325, m &&&

£750,000 forecast gK-^* ^

comparable taxable figure »s
as £l-24m. Turnover of
Ste specialty, chemical manu-
facturer has slipped trom
nrlSm to £16252m' for the year

‘"iTimpSent in
noted in .the April/June qu^t^

influenced partly by the lower

sterting/dollar «*25t‘-iSf
continued into the current year,
says Mr Peter Tawrence. the

'Hue of adhesww. to tbe
market. Mr Lawrence is «mfl-
dent that this investment wdl .
yield profitable busmess for d»

the acqu isitiro of

60 per cent of the equity oftije

ssr sm^sr»

strw-SwJE.

d pnd for 19S0-S1. .\u_rt. an

A minority debit •* *S2i®

to next Sentemoer.

Ward's chairman, also
letter to share-

Frost.

aiso uc j“u if T w Yi-hnn- fnrecasts in a ieuer lu wm*,

”“35mw ' ‘ .„- T . hown* «>« *^51

6 Nightingale has oeen

a market in a selection cf s.O.js

o-hnnr 10 vears. Is«5 Will ne

the year to March 19S2.

But the new structure of the managing
™ 1 offers management at keen
least three incentives to do well .

DWaeni must te

was

for about 10 years,
the twentieth comp
Mr Robin Hodgson,

zing director, said it
to explore ways oi arra pf
ina buy-outs ** and this leeks 1-ke
one good pattern for the future.

Babcock’s $17.5m U.S. sale

current vear w-Ul rise 41 per «nt
to 11 d net per share against *

recommended last year.

Tne forecast Ls based upon
increased pre-tax profits off^&n
against —■ 2in by 1116 n ° n ^ n1 '

Ft ruction subsidiaries— reflect?

car titular new iron andsteei
maf&ts oversea^ aTT per
rent pre-tax profits increase, to
cg.9m. hr the Ketton and road-

^r^an. Both the mam ? 'Vf* pre-acqmsiuwt ; :

operating ^bsiiharie^have so ^ ^ en deducted from •»

far performed
^Demand overseas was stronger

and. the American
nental companies have

rear this figure will- be reP*f^“
Merest on long-term ;

jLjL.it j_ hank loans and loan Stocs. •
•sit Tiding profit this me ™

Babcock InternaUonal. the UK wdl^ if.S100.000 together with
engineering group, is selh S S9S.39S representing his accrued
assets and business of the Indufr wjM" J n titlemenL He will
trial Products Group oi LSvftsnS owf'be tween 65 and 75_per cent

round up

'A COPPER smelter with an
annual capacity of 50,000 tonnes
of blister copper is to be built
at Kota Belud in Amm?,!
Malaysian State of Sabah. Datuk
Harris Salleh. the states chief
minister said that a tender for
the USS152m t'£S0m) project had
been already called-
The smelter, which will be the
first in the country, will take
copper ore mined at tile Mamut
fields. 112 km from the stete
capital of Kota Kinabalu.- The
Mamut mine is producing
between 25.000 and 30,000 tonnes
of blister a -year, all of which is
now being refined in Japan.

+ + +

acceptance of its partial l»d for
the shares of Cluff Oil (Australia)
'by a fortnight to January zi.
Hartogen is offering to acquire
up to 20m contributing shares ot
Cluff at a price of 75 cents (44p)
cash per share. Full acceptance
would raise Hartogen s holding
in Cluff to 51.2 per cent
* + *

South Africa's gold production
in November fell to 1,770,758
ounces from 1.815.735 oz in the
previous month. This brings the
total for the first 11 months of
1981 to 19.477,313 oz compared
with 19.974.596 oz in the same
period of 1980. It thus Appears
that the total for l^l will work
out at just over 660 tonnes, the
lowest since 1959

Paget Agencies, the Bermuda- subsidiary

be
panie?

based vehicle of fiQan ^‘®^ f
Tom Wbrte. former head ot

crashed ‘Triumph Investment
Trust and others acting in con-
™ wS Paget have acquired
near-6 per cent stake id
G roup from M.r

Sangers
Morris.
Following

C.

p/setTndlts

g-^SISr «nt?" 6 .n
SSSr*.*® loss-making phar-
macentical ' and photograre c

S’ Se d *S »,"l

o^eS of 905.000 shares (9.54

Pe Nonf of the parties acting m
with Paset individually

SSSS&. of 'the

W The S pag”wilson Cor P°ration
iK a new company owned and
operated by Mr J. H. btoimmy
and other U.S. investors. Mr
Maloney was, until September
19S1 the president and cmet
executive officer of Acco. and a
director of Rahcoqk Intern auonal
Inc the U.S. subsidiary, of
Babcock International through
which Acco is owned..

The consideration is based on
the position as at September
1981, subject to adjustment by
the difference between tiie °et
asset value ot the Industrial

Product Group at that date and

concert ^rith Paget iodiv.au any at the date of completion, Febru
hold 5 per cent or more of the ary j 1932.
nrdinarv capital- . . . • Of the

° Mr Morris only acquired bis
stake of 563.186 shares on

ta repeatedly
stated that the Sangers shares
are “purely an investment.

For the -half year to August
1981. Sangers reported a pr?;‘ a ^
loss of £l»03m compared with a

JS-ofit of £463,000 in the first half
i year earlier

T&V'^y eV Pe^Wilson

with the baJanee divided he^eo
certain members of the indus-
trial Products Group.

Commenting on the reasons
for the disposal of industrial pro-
ducts group. Babcock said that
each of the four divisions of that
group "is relatively small and
their respective F™ d « cl J a t ?“
activities are unrelated to ^e
principal business of Babcock
International Inc. which are in
the materia T handling equipment,
chain and cable products, autch
motive and furniture hardware
and procefi control instruments
and systems. . , T

“None of the divisions of m-
duslrial Products Group '^con-
sidered to posse w Ibe inherent
grrm-th potential necessary to
achieve Bahcnck Internationals
objectives for the future
ment nf it. Intereru

America. Certain of the divi-
nf Industrial Products

m ^ total consideration.

85 7 per cent will be payable in
cash on completion. The balance
will be satisfied by the issue to

Acco of a Page-Wilson oan , . ot - man wo* » ■ — -,

payable in five equal in«talin«its have h?pn ri . subject nf

from February 1. 19w- n ,H,pr neentiatinns for disposal,

loan note will bear m\ere& at
the fixed rate of 13 P er , c ®®*i* er

was con-

european property
investment company n.v.

established in Amsterdaim

AN INFORMATIVE T _

EXTRAORDINARY GENERAL MEETING
OF SHAREHOLDERS

willbeheld at the office of the company, Sing^370,
Amsterdam, on Thursday 21st January 1982 at
14.00 hrs.

The agenda only mentions the discussing of the
public offer by B.V. Internationale Beteggmg- en
Admirnstratieraaatsch'appij Zandbergen on
shares European Property Invatinent Company
N.V. Until February 1, 1982 (15.00 hrs; shares may
be tendered for purchase in accordance with this
offer. Copies of the Offer Docunurt wO. be
available free of charge at the head-offices m
Amsterdam of

Amsterdam-Rotterdam BankN.V . .

Bank Mees & Hope NV

Shareholders who wish to attend tins meeting have
to lodge their shares with one of the following
banks:

Bank Mees &HopeNV in Amsterdam;

Banque Bruxelles Lambert S.A. m Brussds;
Banque deNeuflize, Schlumberger, Mallet in

Morgan Grenfell & Co. Limited in London

not later than Monday, 18th January 1982 against
delivery of a receipt which will serve as a ticket ot
admission to the meeting.

• THE BOARD OF MANAGING DIRECTORS

Amsterdam, 30 th December 1981.

THE NEW THROGMORTON
TRUST LTD.

Capital Loan Stock Valuation—
January 5 1782

The net Asset Value of £ of
Capital Loan Stock is 277.6'P
calculated on Formula I. There-
fore the tender price is 249.90p

Securities valued, af middle market
prices

the thing hall
USM INDEX

117.7 ( — 0.5)
close of business 6/1/82
BASE DATE 10/11/80 100
Ttf: 01-638 1591

CORAL INDEX

Close 514-519 (—6)

OIL INDEX

March Refined S4D-S0

UK UACU IBW v. V

annum from February U»
The caab proceeds from rne
sale will be applied towards the
reduction of Babcock Ipte
Sonars dollar MW «

^Maloney resigned from
the Babcock group in. order to
negotiate the -transaction.

He

earlier aezntiatinir
but no transaction

C Vnr the niii* monthc tn Sep-
tember 27. 1981 Industrial Pro-
ducts Gtoup reported turnover
of S3 6m and profits before in-
terert and matmn iff 81.4. m. In
its financial year for 1980 it
showed profits of S2.0*m com-
pared with 84.57 pl

stone businesses.

Discussing the contnbutian ta
made by associated com-
Ward says it has
‘assumed unchanged VMJ*
Tunnel Holdings, the
company 42 per cent-^v-ned bs
Ward. Tunnel, says Mr Frost,
“were unv.illing to co-operate
in the preparation of a
forecast

Assessing the value of Wards
construction business alone at
£60m and its associated company
holdings at £95m. the chairman
says: "Even a s^nificant

increase in RTZ's bid would
remain inadequate. He con-
cludes that tax considerations
provide RTZ’s real motive m
pursuing Ward and Tunnel.

Sir Alistair Frame, RTZ’s chief
executive, said yesterday ne
thounht Ward’s rejection “smacks
a little of panic." He said he
was surprise dthat Ward could
produce a forecast for the whole
vear “at the beginning of the
fourth month when their results-
for December can hardly be in
yet."

See Lex

GEORGE OLIVER
SELLS LEASES
The George Oliver ’ footwear

gaining business. The JJUP ^,5- with ******* '
low sells about 40 per cent of fell from £3TO,731 tn ,

its turnover overseas.

Bituminous . products
tinued to develop
sold showed a significant in-
crease over last year.

■The chairman .says that a new
range of exhaust repair produCte
from Hermetite has been well

re it i remains company ^

expand overseas through tte
acquisition of

established sales companies,
says Mr Lawrence;

In the U.S.- he says tde com-

£203^- ^iSere was . a * ar fL^ •
Ss if £271,095. against, a credit
previously <rf FT .470- . __ J

The adjustment for capit al re-
orgmSsation - was. lower .
£217,630, compared • . with ,

£50s!613, _ -

Basic earamgs per sh^e .
emereed much lower at 18-54p |
nifilo) and diluted earnings-
S%tlt 9.54p (21-^»..

The shares are traded qn the ^
market made by M. J, H-
Nightingale and Co.

57 companies wound-up

Compulsory winding

against 57 companies were made

by Mr Justice Vmelott in the
High Court. They were: .

Goorii and Co. (London).

Game Construction Cmnpany.

Ezkred ..Properties, Semtold
property. Powergable, Hilosur,
North Eart Plastics, Symington
(Shop Fitters), George mdyarf
and Son. Poole Factors, Sand-

hC S^?r ? s Stractural, Kedcroft
Business Consultants, Saudi an,

V^ville

Engmwnng. Kaibndge. Bian^
palm, Driftmead. Russell Lunts

Centre. Newport
Harbour. Basmghall Tnist,
Motehond, EAWAMarireT^rie
Whitesquare (UK), ljanguaie

Wo ^ W orks. se^ade.

KC A explains disposal

* Earnines and reserve projec-
tions for Baron were not born®
out— otherwise we would never
have been able to negotiate SJJm
off the purchase price. Mr John
Wilson, managing director ot
RCA International, said jester
day, to exolain why KCA bad
disDosed of Baron less than- a
year after acquiring it.

Baron — which became KCA
Oil and %3*s *’nr-^ias now been
exchanged for 46 per cent of a
Colorado exploration company
known as Bengal Oil and Gas.
Bengal's shares are dealt over the
counter in the U.S. and can he
traded in London, by negotiation;
under Rule 1«1 m (e). On Dec-
ember 31 tbev were traded at 50
rents in Npv York, valuing
KCA's investment in Baron
amounted to S11.4m.

Bengal has exploration and
production interests in Texas.

base lending rates

A.B.N. Bank

Allied Insh Bank ...... 144%

American Express Bk. 144%

Amro Bank 14i%

Henry Ansbacher 1|4%

Arbuthnot Latham - J4^%
Associates Cap. Corp. 15 o

Banco de Bilbao 144%

BCCI 141%

Bank Bapoalim BM ... 144%
Bank of Cyprus ......... 14*%

Bank Street Sec. Ltd.... 16 %

Bank of N.S.W. J4*%

Banque Beige Ltd. ...... 144%

Banque du Rhone et de .

la Tamise SA }* %

Barclays Bank 14*%

Beneficial Trust Ltd.... 15*%
Bremar Holdings Ltd. 154%
Bristol & West Invest. 16 %
Brit. Bank of Mid. East 14* %

■ Brown Shipley 15 %

Canada Perm’t Trust... 15 %
Cavendish G’ty Tst Ltd. 15

Caj-zer Ltd. 1| %

Cedar Holdings ......... *| %

■ Charterhouse Japbel... lo %

Choulartons *5 %

Citibank Savings i*f *

Clydesdale Bank 14*%

C E. Coates »,5

Consolidated Credits ... 144%

Co-operalive Bank 14*%

Corinthian Secs.......... 144%

The Cyprus Popular Bk. J4*%

Duncan Lawrie 14* %

Eagil Trust 1J*%

E.T. Trust J4i%

First Nat. Fin. Corp.... 17 %
First Nat- Secs. Ltd. ... 1# %
Robert Fraser 15 %

Grindlays Bank tl4*%

■ Guinness Mahon ]4’"

■ Hambros Bank ......... 144%

Heritable & Gen. Trust 14*%

■ Hill Samuel SJttS

C. Hoare & Co il4J%

Hongkong & Shanghai 14*%
Rnowsiey & Co. Ltd.... 15 %

Lloyds Bank .14*%

Mall inhall Limited ... 14*%
Edward Manson & Co. 15*%
Midland Bank 1*5%

■ Samuel Montagu 14*%

■ Morgan Grenfell 14*%

National ■ Westminster 14*%
Norwich General Trust 14*%
P. S. Refson & Co. ... 144%
Roxburghe Guarantee . 15 %

E. S. Schwab JfiJ

Slavenhurg’s Bank ... 14*%
Standard Chartered ...1114*%
Trade Dev. Bank ...... 14*%

Trustee Savings Bank 144%

TCB Ltd 14*%

United Bank of Kuwait 14*%
Whiteaway Laidlaw ... 15 %
Williams & Glyn's ... 14J%
Wintmst Secs. Ltd. ... 144%
Yorkshire Bank 14*%

■ Mem.barc of ih« Accepting Houses
Com mi nap.

• 7-day dtposhs 12.30%.

• IZ-TS 1 *,. . Short torm £8.000/12
months IS 10"A.

t 7-day deposit* on sums ol DCI.000
and undar 12b'4. up to ES0.000
13<% and ovar [30. 000 131*%,

Call deposits El .000 and ovsr

Demand dsposit* ia*i »• ■

21-day deposits ovsr Cl. 000 *5**7. .
Mortgage bSaS rat*.

_..NatWest

([^Registrars Department

National Westminster Bank Limited has

been appointed Registrar of

BQUIPUPLC

AH documents for registration and

correspondence should in future be sent to:

National Westminster Bank Limited
Registrar’s Department
PO Box No 82
37 Broad Street
Bristol BS99 7NH

Telephone Bristol (STD Code 0272)

Register enquiries 290711
Other matters 297144

Colorado. Wyoming. Ohio, Okla-
homa and Pennsylvania, ^hich
will be merged with the KCA
interests in Texas
Mexico. The enlarged Bengal,
will continue to develop its exist-
ing leases, and .will aiso buy new
acreage.’ •

Mr Wilso said that if Bengal
used its shares in such purchases
KCA would have to judge
whether In subscribe for extra
shares in Bengal and avoid dilu-
tion. He expected the combined
companies would do siightiy
better than breakeven for 1952,
as some rationalisation took
place. Cash flow might be
expected tn turn positive in the
second half of 1953.

CAVLAND ACQUIRES
DEPOSIT TAKER

Cavland has announced that
it is hiiviog Bnntle based licensed
deposit takers Merseyside
Finance and Merseyside Facili-
ties. C.avland of Lyram io
Cheshire— io which the English
Association Development Fijnd
lias an investment— is carrying
out the deal tlirnugh its Man-
chester hased deposit taker
Century' Industrial Services.

chain has derided to sell to the
National Water Council ana
leaseback 14 properties in a
deal worth £7.Sm.

Proceeds from, the sale
be used to repay the rmtial
draw-down of £7m of a three
year unsecured loan organised
for the purchase of Hiltons
Footwear. The leases, e ach i fora
25 -vear period, have five-yearty

rental reviews and will cost
Olivers £306.000 .per annum

^Olivers’ board opted for tins
agreement in preference- to fac-
ing the high interest costs for
the repayment of the £7m draw-
down on the unsecured facility

Banner Fubtications- ;

Aijam and Co.. Nottingham «,
Greyhound Stadium. ^Wholesale ,
sSies (Kent). S.B -Aasurence
and Insurance ConsuJtanfe t

Cray Valley Joinery Company. ,
CaveiU Pryor and _co., i*- .«•
Matthews (Joinery {

Goodisong. Compline, Ebony J
Wines and Spirits. ,

LJL . Video (Productions!, l
A.G.S. Commercials ana cats
(D oncaster). Surgev^e, ^«veUa
Engineering, Compass. Kamasa
Tools, Soke Electrical,. NetstaL ^
Fivemano r , Barjaq Freight .
Services.

A compulsory winding-up
order made' on ^ , ® cem k? r - 5 ■

Sginst GradevUle vm r^emded

and the petition tamissed oy
consent

A compulsory windimp
order made on Uecember U
against Charlestown Umng and
Marine Was rescinded and the
petition dismissed . by consent.

FroSSrire! Angiographic^ Finch

coral, Dykactar. Amberburs-

APE STOCK SWITCH GAELIC OIL

Holde. ^ MMi „

Power Eosmeertas ^ e^lor.bon

Dealings in the shares of
Gaelic OiL 4he Dublra-based
exploration compi-^. _.

£l*5m in a rights issue last July,
are to take place under Stock
Exchange Rule 163 (3) without
need to seek the prior per-
mission of the Council.

Until now; Ihe shares have

cent Unsecured loan
been called to an
meeting on January 26 to con-
sider a switch i nto N ®*5rtm

CJS » n -mn: a,

7 per cent -unsecured loan stock
2000-05, for every £1 of ® Per ce ht
APE stock. ‘ _ -

Eagle Star Insurance, ns
trustees to the APE 6 per cent
stock, have not raised any objec-
tions to the proposals being
presented

matthewbrown

Matthew Brown’s righte t Issue
has been taken up as to 54 per
cent. The balance has- been
placed.

Record ordinary shares

t

M. J. H. Nightingale & Co. Limited

27/28 Lorn Lane London EC3R EEB

Telephone 01-621 1212

P/E.

1381-52
High Low

tie 100

75
51 '
200
1C*
126
63

ra
102
100
113
130
234
M
222
15
' 30
44
103
263

62
33
1S7
S3
37
39
46
93
10Q
95
1C3
258
51
167
10
66
S
. 77
212

’ Company
AB1 Hldqs. 10pe CULS

Airemung

Armitagc & Rhodis ...

Bardon Hill

Daborah Sorvicss ■■ ■ -

Pfan'n Horiell - ; -

Fradcnc? Parker

George 8>air

I PC

ISIS Ind. Scrw. CRCPS

Jackson Group

James Burrough

Robert Jenkins

Serunoni "A”

Tordiy & Carlisle

Twinlock Ord

Twin lock 15pc UL5 •••

Unilack Holding*

Vteltor Alexander - —
W. S. Yea tea

Gmr-' Yield fully
Price Change div.(p) % Actual taxed

117

63

44

200

86

126

67

48

97*d

100

33

112

253

54

107

13

74

29

77

214

- 1
- 1

-1

- 1

- 1
- 2
- 1

10.0

4.7

4 3
97
5.5
5.4

1.7

15 7
7.0

5 7
31 3

S.3

10.7

85
69
9 8
4.9
6.4

5.1
2 j

7 5
15 7
7 1
7.8

12.1
95
64

10.3

3 7
9.7

4 3

11.4
29 1

14.9
8.3
11. B
S.1
23.3

7.0 10 5

7.n
10 3
9.1
7.7
9.9

3.1

8.2
3 6
8 3
5.4

15.0
30
64
13 1

203

10.3

n,3

G.1

5 2
5 1
4.1

S.S

90

Prices now svailable on Prwiel page 45146.

WESTERN SELECTION
AND DEVELOPMENT
Agreement has been reached,
subject to contract, whereby
Western Selection and Develop-
ment -will sell its wholly-owned
subsidiary Eritish Patent Glazing
Company to Aluminium and
Timber Securities. Sale price
will hp has^d on the net asset
value of EPG as at September 30
1951.

BOOSE Y & HAWKE5
Boocey and Hawkes has agreed
the disposal of its leasehold
interest in 33 Margaret Street.
The acquisition nf a hcadlease
for 295 Regent Street, details of
which were announced on June
23. lias been completed.

The company has received
14.1 am which will he used to
reduce borrowing.

HALLITE HOLDINGS

Laurie Milbank and Go. has
purchased 1RS.20Q ordinary
shares in Halllte Holdings |7.S
per cent) at 2Q0p per share on
behalf of General Tire and
Rubber Company. South Africa.
General Tire now holds 656.237
ordinary (2S.5 per cent).

PRESTWICH PARKER
Bultcr Lane Nominees (Man-
chester) has acquired 165,000
ordinary shares in Prcslwich
Parker (Holdings) bringing iri
total share holding to 250,000
(5.26 per coni).

Butter Lane Nominees is con-
trolled by Mr Jeffrey Rubins,
chairman nf Frcstwich Parker
and thus his beneficial interest
rises lo 785,000 ( 23.17 per cent).

WEDGE CHEMICALS

Wedge Chemicals, a new
independent trading company
specialising in the distribution
of polymers, rosins and speciality
chemicals, has been formed as a
result of a managament “ buy
back" from Cole Chemicals, a
subsidiary of R. H. Cole.

BY NIGS. SPALL

STOCK EXCHANGE trading in
1931 was marked by record
business in ordinary shares
which increased by 5.1 per cent
to £32.4bn. However, the num-
ber of bargains transacted in
ordinary shares during the year
was 3.9m, slightly down on
19S0‘s 4.2m and well below tiie
ceak 6-Jm recorded in 19 <2.
The average value per equity
bargain during the year was
£8.329. while the FT Turnover
index for ordinary shares in
1981 registered a monthly aver-
age of 481.6 against the previous
year’s 458.0.

The Financial Times Indus-
trial Ordinary share index
closed the year at 530.4 for a
nsc of 55.9 points over 1981.
during which it ranged between
44fi.n and its all-time high of
597.3 reached at the end of
April.

Turnover in gilt-edged securi-
ties in 1981 was down 3.7 per
cent on 1980 and the amount of
new Government stock issued
fell dramatically to approxi-
mately £llhn Compared with
the 19S0 record of £17.05bn.
The number of bargains trans-
acted in British Funds was
47.0 IS lower at 949.487. The
19S1 monthly average of the
Financial Times Turnover index
for Government Securities was
515.1 compared with the 1980
average of 535.0.

December, as usual, saw a
sharp drop in trade in all

sectors because of seasonal
influences'. The number of
business days was the same as
the previous month.

Business in gilt-edged dropped
from November’s £17.1bn-r4iie
highest monthly level since
January 1980 — to £10.8bh. Trade
in short-dated stocks contracted
by £2.Sbn to £&.2bn and ther
number of bargains in gitls-was
23,428 down at 62,675.

The FT Turnover index for
Government . Securities in-

, i-

A l

Business in ordinary shares
also contracted last month, fall-
ing by £0.7bn to £2.1bn. The
year’s high of £3.50bn was
recorded in April and the . low
of £2.08bn in October.

The number of bargains trans-
acted in equities in December
fell by 68,591 to 233,889 and the
average value per bargain was 1
down by £319 to £8,944.

Turnover, in all securities
during December fell by £75bn
to £14.1bn with the ET Turnover

December was 458.3 -compared ' index *wn from November's
with November’s 725.5. • 1981 high <rf 652-4 to 4323. -

Category

Value of ad
purchases
& sales
£m

. %
of
total

•Number.

of

- bargains

%
of
v total

Average
- value
pefity
£m .

Average .
, valu* per

bargain

. .4. : . •

. Average -

muniwr^f
. bargains
■ pardajr [

British Govt, and British

Govt. Guaranteed:

Short dated (having five yean
or less to run)

6J08.0

444)

- 22,713

■7.1 -

295-6

270,936-

~S 1 . "

1,091

Others

4^20.0

32.7

39,762

• 124

mo

116,197

, LW3 •

Irish Governments

Short dated (having five years
or less to nin)

501,1

U

1^67

0l6

23r

, 254,764'

94 :

Others

7392

1.7

1^7.1

.

: .12li353

94;

UK Local Authority

31741

13

3,609

i.i

15.1

; 88JJ71 ;

. 172 -

Overseas Government: . .

Provincial and Municipal ...

30.9

02

:«7.

• 02

, • is •

. V 50,156.

Freed interest stock pref. and
prefd. ordinary shares

100j4

0.7

' 17377

1 54 ‘

. ax

-/./■sirs-''

1 827 ;■

Ordinary iharcs

2,091.9

1«.

.233389

72*

■ ***

: : ^X9A4-

V ;jl,138 ; j

Total

14,109,1

1004)

1322,105

•' im

■ *43^03

: *15^339

* Average of all securities .

; y " 1

^ 4 ^

:■*

V

X >

. Y‘ ■ •

. i; ..

. r '•»
*:•-% '•* St

^e^y :; i^axy 6 i9^ - j ,

Sk- ; .'^ : JNT 1RNATIONA1 COMPANIES and FINANCE

on

'..jf?.*.' ..,•' ;-■ - 1

^jkommhccts corbespondemt

i."S»r

di.1 r -:

■ - f, V. » "

ju»i«n

7' Pert*

u«s BE coimanjwwy im target f or
y^s^mevibg^pn
granane oE S&2biL ; *

Bank officiate jn Washington
said yesterday , ‘tbit tito average
cost of . Tfio aew bocro wings,
weighted.: iby; -'ajnoiiiftv.'- and
maturity; : ; was ? pec- «at,

compared Tarttfei- an average cost
of 9,1 pe^cent'dn new borrow-

togs raised io thO whole of lhe

iSSH^t^scal year..’ ■ ■ '■ .

Tfie :ifflnk;te Confident thaMt
'KlUbeahle 10 iSe^t.tbis'yett's
borrowing needs, they said. The

current; year's programme is. die

largest in -the bank's history —
borrowings raised in iffie -post
fiscal year, Which ended on June
30,.amouiiteti to oniy^S^Thn.

F<«r next year, the 'bank
plans a further increase in its
borrowing. It has already -said
. its icgtiiremenis in 2982-8S.-Wfli
be^more than $9ta end . In
19S3-S4 more than fiCbn, ahd. it
continues to diversify its source
■of funds. .

in the pastafx moolis, it has

borrowed Norwegbta Xrotier for

the first tane and. floated its
■ first issue in. the Kuwaiti dinar
market. *-._■*•- •

But one potential '■ source of
' funds t hat . stiH. not been

with Anti-trust
move over
wmg Goodrich
plastics bid

tapped is the floating fate bank
credit market. Although bank
officials said last September
that such borrowing was under
consideration, it is understood
that slow progress has been ,
made wish the concomitant !

- requirement that tbe bank
should begin to lend at floating

- rates of interest instead of only
at fixed rates as at present .

Now that world interest rates
have . come down : from their
peaks of last year, there is
thought to be less desire on the
' part of the bank's borrower
customers .for floating rate
loans, and the matter has still
not been taken up by the bank's
board, the officials, said.

Dollar Eurobonds fall sharply

/ *Y OUR H/ROMARKETS CORRESPONbEbTr

>und.i

- ' :• V'

FIXED RATS dollar T&irobands
showed- quite sharp fails yester-
day with ja^-es slipping as- much
as } points M scanecasesf ©flow-
ing the pronounced weakness of
the New York bond [market
overohgit; ■ : .*1 .

SiwrMeaan interest rates also
edged Inkier .In Europe with
sax-enoudh - Eurodeposits adding
■J -point to 14}, but dealers said
that the fairly active', trading
m tbe bond market was mostly
confined to swapping rather than .

T3» aheap decline of tbe New

York bond market has made
Yankee- Jssuesand U^S. -Treasury
bonds' more attractive in yield
terms than. Eurobonds, they said,
aJ£hoc$i v there was some selec-
tive snjijpbrt from the Continent
tor^ ^co upon U.S. corporate

Nonetheless, the new

Mbtnhhdri Chemical issue with
warrants held up rather well to
he .quoted' yesterday at a dis-
count of -only- }. points with
dealers attributing its success to
tibe attractive warrants feature.

No .new straight' dollar bonds

SAMA: to buy yen convertibles

THE Saudi Arabian Monetary
Authority '(SAMA) has re-
portedly agreed ■■ to purchase
directly yendenonrinated con-
vertible bonds .to be issued in
Japan by Sony Corporation; the
electronics .company, and Honda
Motor. Company, -writes Richard
G, Hanson in Tokyo.'

This would be the first time..
SAMA ' has -, bought Japanese.

convertible bonds, although it
has bought Japanese straight
corp o r a te -bonds. .

The . Japanese daily news-
paper, Yoniduri Sirinfinm, saskl
SAMA woodd. buy directiy a
Y20bn "issne by. Sony and a
. YlObrL issue by Honda. Nomura
Securities, which is said to be
^arranging the ‘transaction, would
Dot coDKnent on tibe repaoL .

were announced yesterday, but
a large floating rate note was
launched for Basque Francaise
dn Commerce Exterieur through
Credit Suiss Erst Boston. The
f250m five-year issue bears a
margin of } per cent over the
mean of the bid .and offered
six-month Eurodollar rate and |
a mrnhmrm coupon Of 5} .per
cent.

Miuorco, the natural re-
sources group, is offering a
$60m convertible issue through
Haznhros. The 15-year bonds
bear an indicated semi-annual
coupon of . 9 to 91 per cent and
conversion premium of 10 to 12
pear cent

Both the D-mark and Swiss
franc foreign bond markets
were also weaker yesterday. In
Switzerland terms were set on
the SwFr 50m 10-year Ansett
Transport isue to give a coupon
of 7} per cent and issue price.
101. Union Bank of -Switzerland
announced a' SWFr 100m bond
for-TransCanada Pipelines with
an indicated yield of 6} per
cent.

l ie on

FT INTERNATIONAL BOND SERVICE

■ The list Shows' the ZM j^lest internatiicm^ bond issues for which an adequate* secondary market
exists: For fiirther details cf these or otfier bonds.see the complete list of Eurobond prices which
witi be publisJ^ nest on Timsday Janoary 1Z ; ’ • dosing priees og January 5

U& DOUAR r ~‘- . Ctmfaoeoa

STHAfGHTS. -.- ■:<■! mnM- W tMter da^ WMk.Yield.v
Aulieusee-BiieA ■ 88 WO - +<H* 1MB •

ars- Fw % co -in* as ... . .' #> los^, toMi -hiv -ha'UW, .

Anacv Q/S, Fin, ^te -SO . *

■ Ban* Montreal -16V ^ tKT 1O0\ WV-O^+O^ienZ
Br. Colwra. Hyd. Iff. 8& 1(M? 1?2& l^i 0 ,

Br. Colum. Jilfa. 17. Sp M: i' W. MW» ^ ‘Wte **
Can. MaVBaH W. SI' 100 . 9^, 95^ W.»

Cantpillw Biu 1 th.M 900.;.- JBfcWfcrBk-rtMB.*
■CFMP 16%. S6%^— i--.. too.vifls&aoa.-Ci-g* 2SS - .-.

. ciec . 16 % ■ srt ioo ioa^ioz%-o% ~,&w . .

CittPDrp O/S 18%.. 88-1 .150 .10*% 109% <-0% +OV15.6S
cit* s .s«vn»-4Tsa ^
Con. IHInola 14% «t 10Q -S0%. 39V -Wb . ® :»A4

' ‘ Hi?

tradia

•r.yVJ:

■* *L

wi*

'i I' H

Cona^Bathunt. 47% 88 . 60

CPC Fin. 16% 86 -SO

Dupont O/S 88... 400

EIB 18% 88' 100

EIB .18% 31. .^r .w....- MO.

gmac -O/S: Hn. 18% a4 - 300
-Gulf State* O/S 47% 88 . 60
Nat Bt. Canada. 1B% 88 40

NaC West. 14%' 91 100

60.. 103. 10S%_-O%-HP 1 16.K3-
50 - .104% 105 -0% -OVICI*
no 98%_ S8% -0%-0> 4 vtm
00 . 302% KK% -.0% -0% .15.80
DO 102%103% -0% — 0%16.0B
no noi%.ioi% -«% +o%.is.7B
60 103%- 104 -0%-0%.16^7

40 100% m%- o — 0% 16.88

00 97% 9B%-1%-1%«.14

Naw Brunswick 17 88 W 104% 104% ~0% +?*

N m»fo liiaia nxCT T7% ' © ZZf»: .

N«a- * Lab. Hy. 17V 88 ' 7S 103 “0% +^» WJB'

Ohio Edisorr -FIn- 13%’ 88 - 75 : KOV^Ey

OK.G 15% 97 . 50 ,WV ' £ WL« .

Ontario Hyd. T6 91 (N> 200 1OT

Quaboc Hydro. 17%. 91 ISO
Quebec Province .15% 89 150
Sasketchawon 16% 88... ' 100
Shall Canada 45% .81 ... 100
Swaden 14% 88 150

Swod. Ex. Crack 16%:93 7S
Tennaco lnt 17 ,B9 .100

Texas JEastam 15 7 * 68-.'. 75

Tran scan ed a 17%, B8-- ; v* 75
Transcanada -16 89 . 1W

Walt Disney 15% 86 ... 100
Winnipeg- 17 .86 — 50

WMC fin.-' -15%' 88- ■■'■ ■SX

World Bank 10 86 ...... *10

World Bank 18 88 50

World Bank 16% 86 ... 130
World. Bank 16% 88-.. 300

105% 1flB%^-0% -?0% TSjOS
.88% «B% -0% -H»%15^1
WV»1% -0% +0% 15.87
nxw% iazv -0% — o% is^7 ,
94% 94% -0>, -0% 1588 -
, KS ' WZ% -0%' +0% 18.04
T03% 104% -0% +0% 78.<B
88% 88 - — 8% +T - 15. W '
105% Hfi% +-0V+«% 1630'
33% 38% -«% +0%1€U6
102. 102%- “0% +0% 1437
103%.1Q4% -HP, +0% 15.®

.. 90%. 38% tO% - f(&uT6-«
-1flri%10T%'-70% — 0%TE38
10 T%.m% -0% -0 % 75J4 Z,
KITq K»% VAS

102% W3% — p% — 0% JEW m J

M. jBfc. Drunk. 9i 91 EUA" 25

SOFTC.SV© EUA: x..M

U. Bk, Nwy;s% 90 EUA IB
Altjemarrefik. 10% 86 fi- -SOI
AmtM- Group 12% SB FI 40-
“•Arorb. Bant 12 86 FI _ -75
Amro Bank. 12 86 Ft — to
Hoineken NV 10 87. Ft- 100
Piareon 10% to FI _„•- 50 '

. Rfbobank 12 to FT 50

Air fitonca 14% to'FFr— 2D0
' Bkl Am*rfc» t4%a6m 250
. Charit'nagaa 13% 05 PFr 400 -

EIB 14% to FFr 300

La -Radoutb.14% TO FF* 125

OKB 14 86JTr 400

-Solvay atC. 14% 86 FFr 200
Swad. ECr. 14% 88 PFr 250
U. Max. Stiu 14 to Ff r 150

Acona 14 85 E 20

Qanaflcial 14% 90 £ 20

BNP 13% B1 £ 15

CECA 13% 88 C 20

Citicorp 0/5 13% SO £ 60

fin. Ex. Crad. 13% 86 £ 15

. Gaa.-Bac. Co. 12% TO £ 50

.Hiram Walkar 14%-» £ -25

- Privatbankan 14%‘ ®-£ 72

J. AodiacMd 14% 90 £ 12

- RoyalTrustco 14 88 £... . 12.

SWarf. Be: Cr. 13% to £ 20

Akza 8% 87 LuxPr 500

Euraura 9% to Luxfr ... 600
Earafintfl 70% 87 itpcFf BOO.

BB 3% 88 Luxfr L . 800

Volvo 9% 87 LuxFr SOQ

.82 ‘ 83% O
77% 79 0

81 92%. O'

99% 708% -0%
102% 103% 0
302 102% 0

ioz% bb%. a

'96% 97% O-
98. 98% -0%
101% 101% +0%
92% 93% • 0
-93% 84% O
92% 93%/ 0'

. 89% 90% 0
91% 92%- O
91% . 92% 0.
92% 93% 0

92% 83% 0

92 -92 0

.•90% 91% -0%
83% 84% -0%
84% 95% -0%
88% 89% -0%
-SB TO — 0%'
90 91 -0%

. «%-88%.-0%
93% 94% -0%
90%. 92% — 0%
H2% 93% -0%
~93 84 -0%

90% 91% -0%

'96% wy 0

84%- 86% O
90% 97% +0%
96% 87% -0%
86%- 87% -0%

.O 12/07
O 13/01
- O 11.10
~0%UU7
r-0% 11^9
0 11.29
+0% 11.17
+0% 10.72
+0% 10.77
+0% 11X7
+0% 16.75
~0%WTO
+0% 16.45
-0% 17101
' U 17.46
+0% 16.67
0 .1730
-0% 17.12
—0% 17 AO
+0% 17.47
-1 17B9
+0% 1690
+0% 16.21
+0% 16.13
O 17.00
+0% 15.80
+0% 1627
0. 18.73
+0% 15,76
•HFalBJZ
-0% 10.90
+0% 72,82
+0% 13.45
+0% 12.70
+0% 13.07
-0%t3.W

Averaga price chahgss-.; On day up wartt 0

DEUTSCHE' MAhK . . ‘ CT««ng»6Q _

STRAIGHTS " - te«ad Bid ' Offer day iwaak YWd

AaiarTDay. flank TO SI 100~.

Asian Dev. Bank 10% 88 100 701% 102% +0% +0%T/ 35

®!artric“lH81W' too 12 ^^-tMS'IS-SS

CECA 10 91 i.:7...- 120, MB% KO%. +1 -H?a - 8yW

Coun; o* Europe -10 91 100 : ,100% TOW O -Mt> .«W;
Coup, ot Europe 10% 91 . «0 107% W1% +tP»

PEtr 70% 93 . TOO 100% TOO 7 . —0% W»1W*

, ' FLOATING RATE

NOTTO . . _ •' , Spread Bid after C.dto C.cpn C.yid

Bank of MooBMI 5% 90 0% 99% 100% TB/B «% 14-27

Bank of Montraal 5% Si 0% 89% 100% J29/4 . 17.06 17.08

flank ol Tokyo 5% 81 ... 0% 88 98% 10/6 13% 73.49

. Bk. Nova Scotia 5% 93 fl% 99% 100%.28/4 T7.06 77.08

• ' BBt lnt 9 86 .0% 9B%- 99V20/5 13% 13.57

BFCE 5% 88 0% 99% 100% 26/4 16.94- 16.94

CMvtJanla Bk. 5% 91.^ W% 88% 99% 5/2 1536 15.74

Co-Ban Eurofln 5% 81... 0% 38% 99% 14/4 16.69 16.88

Dan Norsk* Crad. 5% 83 0% 97% 977, 4/6 13 SB 13.89

-.'Gorrfinanca 5% 87 : IP* 100% 100% 30/4 17.06 16.98

Genff narica 5% 92 0% 98% 100% 30/6 '1S% . 15.52

Giro und Bank 5% 91 10% , 99. 99% 23/3 14.06 74.17

. GZB. 5% 92 10% 98% TO% 5/3 13% 13JM

[ Ind. Bank Japan 5% 80 0% ■ 88% 98% 9^6 1331 13.52

FFIT 70% 93 ZZ\Z.~Z .TOO
EIB 8%^80 2W

ETB 10% 200
Finland, Rep. of 1D% BS TOO
Inter- American . .10. 911 „ • TOO
I nmr-AraericaA 10% 91- .100
Japap Air LJnaa 8% 87 TOO 1
Midland lnt fin. 8% 90. 180
Mt. Bk. Drnnk-. Wi. 91 MO
Nat. Wait ; 11- 91 «*-. , 125
New Zealand 9% 89 .^.-'-280

«2%TO3%.+1

108% TOW O -Hfc> *77;.
10T% W1% -0% +0% 978. :
100% 108% -0% -HPsTOtto-
92% TO% -0% -0% ?■»_
700% 103% +0% +0J, SM 7
100% 100% +4% — 0% 10J4
101% 70*% +0% +0% 9.0J r ■
100% Wl% -0% +0% KM* ,■
95% 86% O +0% 902
83% 94% +0% .-*-0%

89% 708% -0% -0% TOL48; ?
TO4%105 +0% *0% 10.21 .
TOO 700% -0% +0% 8-67

.Uaydi Earofin 5% S3 §0% «% 100% 29/4 T7.13 17.13

LTCB Japan 5% 89 0% 99% 99% 18/1 18.32 18,41

Midland lnt. Fln ; 9 8t .0% 85% 100% 30/4 17/06 77.08

Nadonal fin. 5% 88 ... 0% 97% -98% 25/3 1731 T7.64

Nau Bk.. Canada 5% SB 0% 99% 700 24/3 17.31 T7JW
ffat Wdat. fin. 5% 31..* «0% S3 -39% 15/1 18% 18/26

Nat. West-fin. 6% 92... §0% S9% 100% 23/4 17 17.02

Nordic lnt. Fin. 5% 81... 0% 98% 99% 6/5 76% 16.76

Offs horn '.Mining 5% 81 '0%
Pemax 'e; 81 .: . — 0%'

98% 2/6 13
38% 8/4 17

Skb :: i» ® is:

Quebec Hydro W% 91*. - 450. * 702 TO2% +«% ***
Renault ' Acot. 10% to ISO W ^ ~

Swad. Ex. Crua. 10% 81 -.100 +0% W.3* :

• Wprlrf.fiOTfc 11-91 — W 225 “J S •

World Bank .10 91 250 - to£% TOD% -0% 0 «*•

- • . Averaga price changes .. l On <^r +0% on.wMk +0%-

IraAl^mS^' r .teaawI TOd OSer^VM^YtaM
' Aeroport Paris ft * ,T^» ^

Asian Dev. Bank 8 90 j SB — KB TO3% —0% —0% 7^u .

WCE ™..-~ MO J 195% 95% +0V+W. 7.TO

Bale electric Fin. 'ft- 91 TOO 1701 TOP, -1 7^

■ Bel? Canada ft' to „; W

•Bfifoen. CitV or 6% 91- '40 . 100 -100% —0% — 0% 6.«
Sat da Atnopisraa S 30 '• to ■ 70 0% TOT% -0% +ft 7^

' icSA 6% 8| ; RQ .99% 98% -0% rft B32

■S3 Petroleum R91 W '.JS-toSjIl 3$

Dome Pevofadm 7% 90 TOO ^ ^

Franc. Petrol*- 6% 9t- » . . 1 * Jft JJ JS

I Gun star 7 91 100 KHklO -0% +0% “-f*

lnt. Amer. Dv. Bk. 791 _»% 7to

! US El sain ft 91 ® .- !®J. 122* J.S* IS

. Japan Air Unas ft «•£»'' SS

r Nader; Wamnfe-fi to:- ' W ‘ ; *6% 'I®

1 OKB 7 93 J... - WO' Wft -0% 6-™

ora 7% '91 ^ .... TOO . • Wl% 701% -0% +0% 7.07 ■

ScrtyofT*^: .w W8%70ft“ft LI'S

r.' Z'y .-. m « - w . inar. um. — twu — sffi, 7.81

Panwx.ftto — 0% 198% 98% XA/2 18.81 T9.12

Sanwa lnt. fin. 5% 08... 0% f9S% 89% 24/3 17% 7731

Sec,- PbcHIc 5% 91 0% 98% 88 % 24/5 13% 13>K

Sociew Gan era La 5% 31 0% 98% 99% 32/1 18% 19/79

flparobanken 6 87 0% S8% 99% 21/6 14M U.60

Standard Chart. 5% 91 0% 98 96% 78/5 13.31 13.65
SumitomC FIn. 5% 85... 0% 89% 100% '6/2 79.56 19.56
* Avarage price changes... OndayOsnumkC

Saint EfifMl fttil ™ -to
Swad. ft. Credit ft 91 -7S-
TNT O/S fin.'* ^

ynilaver NV 7% ®. .» TOO
.World Bank- 6 91 W.

world took 7 90 322

World tor* « « WO

20 104% 104%. -.0% -ft 7.91

75- ‘ 97 37% +0% -0% 7^7

a rra m-tPi-HPi 7,Ti
too KWVTOft rft +ft. «-SS
m. -to s ft .-o% -ft *-»

100 101% 101%: +8% +0% 6.77 .

K» 705% WS% -0% +0% 7.16

_ GONVSmBLE Cnv. Onv.

| • BONDS data price

j. /.' -AKnomoto 5% 9& 7/31 933

[. . ' .Bow 'Valley Inv. S 95... 4/8123.12

! . ' Canon. 6%. 95 1/31 929

i. ’ DffiwaSooa. 5% 96 12/01613^3 ■

Fujitau Fanvc 4% 98 ...10/81 6770
L: "ftinikirwa EJac. 5% S&...7/B] 300
• • , Hanson 'O/S Fin. 8% 96 8/W 2.74
;■ "-Nitechi Crad. Cpn. 5 96 7/S1177J

" InCOcape 8 SB 2/81 4.56

Kawasaki 5% 96 9/81 229

i‘ .-Marol B'86 - 7/81 SSI

- : - MnsosMta Ef. 7% 35 ...11/80 5»

"t . Minolta Camera 5 86 ...10/81 909

i.” .-Maiat* R, 96 7/81 2190

H6CK 6% » ... 7/8T 188

Nipporr-Oiunl-a 591...TO/B1 919

Ricoh 6% 95 8/BO 604

Sanyo Electric 5 98 .... _ 10 / 81 - BS2
. Sumitoino- Mat. 6% 98,. .10/81 305
,.,‘Swise Bk. Cpn. 6% to.. 8/80 T9l
ftyhrf Woodrow 8V 90 1/81 454

. ."-Trenaco.lnt 8% to 6/81 68

Tricorp. 8% 95 ...... 2/8131.25

Onion Bk. Swrftr. 5 ®... 2/8070-79
Mitsubishi H. 6 « DM 2/82 Z83
Sharp Cpn. 6% 88 DM... 9/80591.3

Chg,

Bid Offer day Pram
M% 101% -0% . 2J1
-Wl% 103% O 19.65
114V 116% -2% 3/82

«3% 85% -r0% — 1.7S
108% 109% -+1% 6.88-

130% 131% +2% 006
'187 88 -4% -5.44

94.-96 +1% 191
TO* 59% -2 22J86

81% 83 -1 0.14

104% 106 -1 -0.01
88% 99% -0% -1.71
74% 75% -1% 5-65
78% 80% -1% 17/26
37 BS%-1 —0.17

78 TO 0 2*9

111 113 -0% 3.13
31% 33%-rft SJ4
84 BS% +1 0.02

f77 79 +0% 10.54
180 . 31 -0% -2.78
134% 86 -0% 28.71
173% 75 -1 5449

T86 88 +1 5.25

100% 101% -0% -Ito
773% 174% -ft -3^48

, lf¥01 OB fty -fton we-fc +ft

- • Change, on

YEN STIWCKrS " IsSoad BW Wftr Uay
‘Asian Dev. Bk. 8%^l- ; IS W»-TOft

. Australia 6%. 88 ..3ft ^

EIB 7% 89 ...... V- 12 96% 9ft 0 +0% 7-to

..Finland, Rap. . ol ft -87- ' IS 8ft 9ft . . 0 ®

-Int-Amar. Dev; 8% OT 16 WV® 2 U?

New ‘.Zealand --ft -82 — ■■ 15 - .Sft-Mft -0 +ft W

. Average price changes... On day 0 on week ri-0%

' : •' -Change cm

. OTHER STRAiOHTS Issued Bid Qfkr ^day wwkYioW
Ckn. -UtlKries-17 06' CS to *?» •« TJ-g

Fadatar-Dw^17% 88 C$ 40 1104% TOft ®
GMAC.Te*o+ lS 87 CS- 80 «06% 10g« tg% \ Jg

ParreanatfiBn 16»f=a8‘ CS ® + J?*

Quab. Urban 16% 86 CS 20 1100% 1«% 0 0 TO.«

Royhflt'17%:8SXS ™ ‘ :«SO f«n% 101% +0% +ft
TenfemCpn. 13%8SCS 30. 194 35 0 -ft«.B3

+ No Information available— previous day's price.
f.Only one market maker auopGod a price.

Straight Bomte The yield is Hie yield to redemption of the
mid-price; the amount issued ia in millions ol currency
unto .except for Yen bonds where it is in billions.

■ Change, on week ■= Change ever price a weak earlier.

■ Floating -Hate Notes; Denominated In dollars unless other-

wise. Indicated. Coupon shown i& minimum. C.dta=>Data
next coupon becomes effective. Spread" Margin above

- ajjwwjnth .oBared rata (f three-month; f above mean
rate) lor U.S. dollars.. C-epn^Hia current coupon.

• , C;y1dp'"n»a current ylsfldl •

Converffids Bonds.’ Denominated in dollars unless othor-

- ads* Indhatod. Chg. day "Change on day. Cnv.data«

- Flat ,d»ta for conversion Into shares. Cnv. price = ■
Neminaf. amount of bond per share expressed -in
cunVnoy' of share at conversion raw fi«d at issue.

, Prom *P b montage premium of ths current affective price
of acquiring shares via the bond ovar the moat recant
.price ,ot .

O The Financial Times Ltd., 1B8i Reproduction in whole
or- In pert- in.- eny form not permitted without written
consent, Data supplied by DATASTREAM International,

Mobil goes
back to

Supreme Court

By Our Financial Staff

MOBIL, the second largest
UJS. oil group. Is fighting hard
in its bid to stay in tbe take-
over race for Marathon Oil.
It renewed its emergency
application yesterday asking
the U.S. Supreme Court to
bloek rival bidder U.S. Steel
from purchasing shares of
Marathon OIL
The request went to Chief
Justice Warren Burger. Mobil
asked that he act before mid-
night tonight, because after
that time VS. Steel will be
able to begin purchasing
shares under its oversub-
scribed offer for a controlling
portion of Marathon Ol!
stock.

Chief justice. Burger last
week dismissed an earlier
emergency application to the
High Court from Mobil saying
the company had to submit
the request to lower courts
first.

Federal Judge John Maao®
rejected a similar request last
Thursday and the Federal
Appeals Court in Cincinnati,
Ohio, rejected the same
request on Monday.

' Mobil has asked the
supreme court to review a
. lower court ruling which
blocks it front carrying oat Its
proposed $6J5bn hostile take-
over of Marathon on anti-trust
grounds.

Mobil asks that the supreme
court delay U.S. Steel's ?6.4bn
friendly merger with Mara-
thon until the court has been
able to deeide whether to
review the injunction a gainst
Mobil’s offer.

Mobil is still hoping that an
arrangement to sell to
Amerada Hess, another large
oil company. Marathon’s
downstream assets will
remove the anti-trust
I obstacles currently In the way
of its bid. -

Kodak plans to
spend $1.5bn

By Our Financial Staff

EASTMAN KODAK expects
. to increase capital spending
this year by 29 per cent over
1981 levels to $1.54bn.

It budgeted 5U)5bn for tbe
photographic division, includ-
ing $7I8m in the UJS. and
$S31m< overseas and $491m
for the chemicals division.

Kodak said . it planned
major expenditures to in-
crease capacity .for existing
product lines. It would also
pursue alternative sources of
chemical feedstock s, meth ods
of increasing productivity and
environments protection im-
provements.

The company plans to spend
$456m on projects in the
Rochester, New. York, area
where it has its headquarters.

U.S. QUARTERLIES

AMgUCAH MOIST 8

Fourth quarter

Revenue —

Net profits

Net per share
Year

Revenue

Net fwoJrta

Nat par share

CSX CORPORATION

DERRICK
1961 1380

S S

. 132.2m 105.5m
5.6m 4.71m
. 0.90 0.78

, 574.0m 538.8m
. 20.39m 20 /5m !

3.29 14-1

1881

1980

Fourth qunrtar

$

S

Revenue

IJbn

Not profits

138.4m

34.7m

Net per she re ......

Year

3.34

2.37

Revenue

...... 5.4bn

4Bbn

Net profit*

367.7m

331 .fim

Net per ehere

8.82

7.13

NEVADA POWER

1661

1880

Year

$

S

Revenue ...........

218.7m

$376m offer for Cannon Mills

BY DAVID LA5GELU3 IN N^V YORK

By Paul Betts in New York

THE FEDERAL Trade Com-
mission (FTC), the U.S.
government agency respons-
ible for anti-trust enforce-
ment, declared yesterday that
a proposed ?l31m acquisition
by BL F. Goodrich, the U.S.
- tyre concern, of a plastics
Subsidiary of Diamond Sham-
rock, a diversified energy
company, violated Federal
anti-trust laws.

tt said it would seek dives-
titure of an assets that may
be acquired under the pro-
posed deal. Both the tyre
company and Diamond Sham-
rock declined to comment
yesterday on the FTC move.

The FTC contends that the
proposed transactions may
reduce competition in a num-
ber of chemieal markets
including the production of
polyvinyl chloride and vinyl
ehloride monomers. The FTC
said that Goodrich and
Diamond Shamrock were each
equally the third largest
manufacturers of vinyl
ehloride monomer, while
Goodrich was the leading
maker of polyvinyl chloride
and Diamond Shamrock the
sixth largest manufacturer of
the product in the US.

The proposed sale of the
subsidiary hy Diamond Sham-
rock is part of a programme
of divestitures announced by
the energy concern last year.

CANNON MILLS, one of the
largest textile companies in the
UJS* yesterday received an un-
solicited takeover bid worth
$S76m from a Los Angeles
investment -company, Pacific
Holding.

This is the second unsolicited
hid Cannon has received in a
year. In January last year, Mr
Harold Geneen, the’ former
chairman of ITT, and a group of
private investors made a similar
bid which was turned down.
That -bid also put a value of
¥376m on the company.

The offer from Pacific Hold-
ings- is for $40 for each of
Cannon’s 9.4m shares, condi-
tional on a mini mum of 62 per
cent of the shares being
tendered, as well as on approval
from the board of directors and
certain large shareholders. \

Cannon’s Board said yester-
day that it would refer the hid
to its financial advisers and
would not take a position until
it had received their report.

Cannon Mills, based in North
Carolina, is the largest manu-
facturer of towels and. sheets

in the U5. Sales in 1980, the
last full year for Which figures
are available, were $66Gm and
profits $21m. Although the
textile industry Is Mghjy co®"
petitive and fraught with prob-
lems,, Qannon -has -undeagone a
bag- shakeup whitih & sa3d to-
have improved ; fete business
prospects. As a take-over target
it is also attractive because ft
has a strong balance-sheet and
860m in cash.

Caimon Malls, which Is 37 per
cent controlled . by the Cannon
family, finds about 80 per cent
of its operating profits from

Bethlehem outlines steel policy

BY OUR FINANCIAL STAFF

BETHLEHEM STEEL, second
largest of the U.S. steelmakers,
intoads to continue to put its
money into the steel business
I for at least the next two years,
Mr Donald H. Trautlew, chair-
man, said in a recent interview.'
He was outlining the short-term
policy at Bethlehem Steel in the
light o fthe currently depressed
market for its major products.

Bethlehem's strategy seems to
contrast with that of some of
its competitors, which' are
aggressively' diversifying into
non-steel businesses. U.S. Steel,
the largest steelmaker, is cur-
rently bidding $6.4bn for
Marathon Oil. National Steel
has moved into the savings and
loan industry while Armco has
bought on insurance company.

“ Our intention today is not to
look outside the business we are
in saw," Mr Trautlein said.

In 1980, steel and steel
related. operations accounted for
S3 per cent of Bethlehem’s
$6.7bn in total sales. The rest
came from shipbuilding, plastics
and coal operations. Under-
scoring the group's commitment
to steel is tbe company’s 8750m
modernisation of four of its
steel plants over the next four
years, announced last July.

Mr Trautlein believes that
the company's efforts to be-
come M the lowest cost” steel-
maker in the industry — where
low productivity has been ‘ a
major cause of poor earnings —
will pay off when demand picks
up. However, Bethlehem is not
discounting the possibility
that it might, be- forced in the
future to go outside the steel
industry as others have done,
in order to improve its financial
performance. Return' on sales

was a dismal 1.8 per cent in
1980, down from 3.9 per cent
in 1979. -

“ If . we sas* that the situation
in steel was unlikely to im-
prove we might have to make
another decision,” said . .Mr
Trautlein, But we don't have a ,
strategy at this time - an non-
steel diversification.”

The board is considering the
sale of “one or more* of the
company's coal ■ properties,
which include more than Ibn
tons of coal reserves.

‘ Mr Traxrtleiir said the -com-
pany also planned to increase
third party sales of coal by !
developing some of its proper-
ties, either alone or in- joint j
ventures. Bethlehem currently
mi nes about 10m tons annually,
of which it uses about 8m tons 1
for its own stee l mak ing opera- '
tions. I

White Motor puts losses at $301m

BY OUR FINANCIAL STAFF

WHITE MOTOR said in Cleve-
land that unaudited financial
statements filed with the Securi-
ties and ■ Exchange Commission
disclosed that the company' in-
curred losses of about $146m
in connection with truck .and
farm equipment operations now
discontinued and a deficit of
about $156m on the disposition
of their operations during the
15-month period ended March
3L Volvo,- the Swedish car-
company, • bought the truck-
making business of White in
198i:

.Net loss , for this period was
S301m after extraordinary
credits .of about film.

White Sled a voluntary peti-

tion under Chapter 11 of the
U.S: Bankruptcy Code in
September 1980
Since that filing, business
affairs have been operated on
the basis of debtor-in-possession,
under supervision of the Bank-
ruptcy Court in Cleveland. •
The White Motor Credit re-
organisation f plan, as subse-
quently amended, was con
firmed bv the Bankruptcy Court
on December 21. White Motor
said the confirmed plan contem-
plated payment in full- to tbe-
creditors of White Motor iCredit
and the possible sale of such
finance operations during 1982.

Negotiations were continuing
with creditors relative to its

plan. The final form of the plan
and the . ultimate timing and
amount of payment to creditors
and other parties concerned are
dependent on several factors,
including a final determination
of the price to. be. received for
assets sold to Volvo and the
future of the White Motor
Credit

-White Motor said the net loss
incurred during the lo-month
period' including disposition
losses resullft] in a negative
worth of- about- 869.4m. It said
the reported, negative net worth
could be further adversely-
affected by the outcome of &
number of uncertainties set
forth in its SEC fifing:

the sale of home teatHe pro-
ducts such as towels, sheets,
bedspreads, c o mfo rt er s , mod
matching draperies,' Consumer
‘ textile products are nationally
- sold via a whofiy-awned subsi-
diary. Cannon MSfis lot, to
department and chain stores as
.well as through other rete&
outlets.

Profits fell sharply in 1980'
as' tiie U.S. recession, bit into
consumer spending 1 but the -1981 -
fiscal year, which - ended ■ on .
December 31. showed an- upturn
in both sales and earnings.
Order' backlog -was also, strong,

GM to raise
$500m in
property deal

By Our New York Staff

GENERAL... MOTQRS, the.
number one UJS. car manufac-
turer. has granted a XJ& read
estate investment company ah.
option to buy its landmark New
York skyscraper in return’ for a
$50 Dm medium-term private
loan at an extremely favourable .
interest rate.

The transaction involves- a
private financing of 9500m iu 10
per' cent 10-year notes for Of,
arranged through Corporate
Property Investors (CPI). GM
currently has a double A- debt
rating and would have to pay
around 15 per cent in interest
to raise a similar debt in- tbe
New York bond market

In return for this favourable
loan, GM said it had granted an
option to buy its Fifth Avenue
skyscraper— -one of the most
valuable mid- town Manhattan
properties— to a partnership -in
which CPI is acting as general
partner.

The option is exercisable in
1991 at a price of not less than
$500m as -well as payment of
the existing mortgage dn the
building.

GM is extremely pleased with
the transaction. Last April, the
car maker, which has raced
increasing financial pressure, as
a result of the unhappy state
of the U.S. - motor industry,
indicated Ht pfcmned to sell, its
landmark Manhattan building
which overlooks Central Park,
in one of the city’s most presti-
gious locations.

But the New York real estate
market, which had. been, boom-
inv in recent years, came to a
standstill in the face of continu-
ing high interest rates.

NEV ISSUE"

These Debatans hating been sokl, das BRnauBcemBil appear os amgtterqf record only. JANUARY 1982

U.S. $80,000,000 '

Pacific Gas and Electric Finance Company N.V.

( Incorporated with limited liability In the Netherlands Antilles)'

15%% Guaranteed Debentures-Due 1989 •'

•Unconditionally guaranteed as to payment of .
principal, premium, if any. and interest Jby

Pacific Gas and Electric Company

(fncarpohxted in CaSfarnie)

GeditSuisse flrst Boston limited .

Algemene Bank Nederland N.V. Bank of America International Limited

Basque Internationale a Luxembourg SA. . Banque Nationale de Paris

Berliner Handels- und Frankfurter Bank County Bank Limited

Credit Lyonnais . Daiwa Europe Limited

Dresdner Bank Aktieugesellschaft Kleinwort, Benson Limited Kredietbank N.V.

Samuel Montagu & Co. limited Swiss Bank Corporation International limited

Union Bank of Switzerland (Securities) Limited

Amro lirtwinrfiw Mil

ItaM -

Xbe Batik of 3eoiu»da,XH. Bank far Ga urimriris eterit . Sat Cntrafflcfr Smz, .Bmgnw (Orm^sJ Saak lea tateaMSamiUi.

Aldt^ariteWr lk*B*

Bank Lemm le-Israd Group Bonk of Tokyo International Banque Anbe et I iitemafi onflle dTirrestissttaent (BjULL) Banque Brexdkfl Lambert SA.

Aral) Banking Corporation (ABC) ' Banca Co m morciale T ta ltan a Banea del Gottanto Bunk Joints Baer TQternatkuml

Bank fur Gg nrimrirta etog

Saak lea btema&mdXM.

Baupie Gtbenile da Laxauboarg SA.

Basque de l’tofadane et de Snez

Bnque de Neaffiz^ ScHnnberger, Mallet

Basque Ptirfe de Gesfioa Rnane&e ■
arcs • ■

Bmqhede Paris ct da Pajv-Bas

Basque Wrjbs.

Bayerisdie Hypnthekm- und Wcctod-Batik

Bayarfeeta Varindant BerseoButi: Berliner Bank BZyfh Eastman Pakc We§$er &SJ, Undmmters- Gnawic & CO.

■Ch ri s fias a Bank agKr rditkagft
Credit Suisse First Boston (Asa)

EflertfSbank-Warburg

jU4aE*-b>Ml

' DcuMfeBanic ' Dentscbe GiruixuUtile DGI

A toW i rH*teft _r w».|. gQ M H M— fr—lr — . OMMrGon

Dit Erste Ssterreidiische Spw-Casso ■ Eoromobiltarc S.pA.

DGBatik

OKteMhaMtaKfafelaafc

Credit Casniiairial defiance
Diexd Bantam Xambert

CSrtdzfiirek and Baric <kr SstOT^chischen Spaiasta G^drean SicM TnUroirionil Corp. • Hkrfre&Banfc ■ Baafelsdfink N. W. (Onccas)

Hessafie LaodeAitik Hill Saamd Si Co.

-Giroaaffltrak- u***

Kuwait Foreign Trading Contracting & Investment Co. (SAX)

Khwaftlmeshreaif Company (SLAX) ' tazard Brothers i Co_,

Tie Hongkong Bank Group

Hazard Freres et Cie

Kiddtr, Peabody Intamafiaial
- Lk * at

Kuwait futernafioual Iuiebtmeut Co. &aJc*
- TAw« 1% ^ Vafai l -jriT jf re n fl iirf j Tag.

Xtofds Bank Brtematioaal
McLeod Young Weir IutenaUional

laniard p^fatendonal SA.
Morin Lynch Iatentafional ft Go.

LTCB International
. LteM

B. Metrier secL Sahn ft CO.

MuB&ctarroHaBOKr
Mitsnbc4a Baak (Europe) SA.

Moran GreoftH ft Go.

LteJM

Norfiarische Landfishank

MostanGuamtyLtd Morgan Starieyl ^enia t iinul

National Bank of Aba Dhabi

Noam BtfematioBtil

NoriBc Baric

OriM Royal Bank

CstoTeichfeche LSnderhaHk - Pioson, Hehbxqg ft Fjerson N.V.

Priratbankcu A/S Salomon Brothm intereatioual • ASaodaftCie Scandinavian Bub Schroder, Mfinchneyrr, Hengst ft Co.

J. Heay Sdmofe* Wagg ft Co.

LWn)

Sodetn Generate do Banque SLA.

Sbndharidta BaskOda Botikn

SsnBiBantty, HarmUpSam ft Co.

Sparekassco SOS

Yerimd T i tl lfflu rri i rfH T ITirnfreri ni i ailfm
M. M. W^iWg-tt rinrkmflnn, IVqtE 'ft Co.

Yernas- and Westbnk

Dean Witter BcynnUs OnacseasLld.

XYmaUift Cn.

Wood Gundy
u

Sod&e Generalo
.Uttoa BrakuflinindLtdL,
&. G. Wazhng ft O.ZhL

Vmwiriii Meroafioul (£orope)

Net profits .........

Nat per share

33.17m 17.7Bm
3.38 1.6S

f

4

20

MONTEDISON CROUP

FBRmrrnufi carlo erbr

D.M. 50,000,000

Medium Term Loan

Managed by

Banca Nazionale del Lavoro PRIVATbanken Limited

(London Branch)

Funds provided by

Banca Nazionale del Lavoro
(London Branch)

Banco Portugues do Atlantico
(London Branch - Licensed Deposit Taker)

PRIVATbanken Limited,

Sodete Finandere Europeenne, Finance Company N.V.

-S.F.E. Group-

The Royal Bank of Canada Group

Agent Bank

Banca Nazionale del Lavoro
(London Branch)

December 1981

J

and Markets

INTERNATIONAL COMPANIES and FINANCE

/

Carlsberg group to
sell its brewing
know-how to China

BY HILARY BARNES « COPENHAGEN

UNITED BREWERIES, the
Danish bfewer best known for
its Carlsberg and Tuborg brands,
is to sell brewing know-how to
China.

It has signed a technical and
co-operation agreement with
the Guangzhou (Canton)
Brewery under a deal claimed
to be the first between a
Western and Chinese brewery.

Mr Poul Svanholm. UB's
managing director, expects to
sign similar agreements with
other brewers in China. Stress-
ing. that China planned to
quadruple beer production over
the next decade, he said the deal
had some “ interesting per-
spectives.”

UB also said yesterday that
it was setting up a biotecn-
nical company, Carlsberg Bio-

technology, to exploit a yeast-

based emyrae. .

The process could be useo.
for example, tomake/huraan
insulin as an alternative to the
chemical and gene-spbong
techniques which have been
developed by other e«P>

Ca rlsbe rg’s scientists who
beUeve they are currenOy ahead
of other researchers in mis
field, say the process has
enormous potential.

UB does not plan to go into
the production of the end pro-
ducts, such as insulin, hut to
sell the active agent and the
know-how to clients.

It would be several ym
before the process was folly
developed for £°mm«cjal
exploitation but "the process
has substantial earnings poten-
tial.”

Spain’s capital market

comes of age

pn;*

a;;**

ii*

# ,

lf-U

Norsk-Hydro forecasts
maintained annual profit

BY FAY GJE5TER IN OSLO

NORSK HYDRO, the industrial
and energy group which is Nor-
wav’s largest industrial concern,
expects after-tax profits for 19S1
to broadly match the
NKr 1.07-bn ($lS5.4ra) achieved
in 19SO. Turnover at about
NKr lfibn will also be in line
with the earlier year.

Mr Odd Narud, Hydro s presi-
dent. said the overall result was
satisfactory thanks mainly to
the group's earnings from off-
shore oil and gas. now its largest
single source of income.

.Among its land-based activi-
ties. petro-chemicals and light
metals (magnesium and
aluminium) had been hard hit
by the world recession and the
prospects for 1982 were not
enmuraging.

The fertiliser division on the
other hand bad a good year in

1981 and the outlook was
“reason able": Hydro’s involve-
ment in foreign fertiliser plants
had made the group one of the
world’s largest in this field.

Despite the current slump on
the world aluminium market
Hydro was optimistic about the
longer term outlook for the
metal, and was going ahead
with expansion of its smelter in
Karmny, western Norway.

This, the group’s largest
investment project in mainland
Norway, will expand capacity
to 160,000 tonnes per year from
110.000 tonnes, and is expected
to be completed late this year
or early in 1988.

Norsk Hydro has also
recently increased its stake in
another Norwegian aluminium
•'Ian' Sor-Norge Aluminium to
25 per cent from 20 per cent

Daimler-Benz in U.S. reshuffle

BY OUR FINANCIAL STAFF

DAIMLER-BENZ, the West
German motor group, is to
realign its organisation in North
America. A new company.
Daimler-Benz of North America
Holding Company, will be the
parent corporation of Mercedes-
Benz of North America Freight-

An of flwee eeeurtflOB having bom boW, ffita anaouneemttrt appeals as a matter of record only.

New Issue / December, 19B1

$ 200 , 000,000

Imperial Oil Limited

15%% Sinking Fund Debentures Due 2011

Salomon Brothers Inc

Wood Gundy Incorporated

The First Boston Corporation

Merrill Lynch White Weld Capital Markets Group

KanOS IjKfc Pterea, Fwanr & Smith Incorporated

Morgan Stanley & Co.

teaq w t rt Ml

Goldman, Sachs & Co.

Mmu^K«rana,ni

Dominion Securities Ames Inc. McLeod Young Weir Incorporated

Atlantic Capital Bache Halsey Stuart Shields Basie Securities Corporation

Dminraltnn incorpora ted

Bear, Steams &Ca Blyth Eastman Paine Webber Dillon, Read & Co. Inc.

Donaldson, Lufkin & Jenrette

— a uriil a s Co i panrttai

Hutton & Company Inc.

Drexel Burnham Lambert

Incorporated

Lazard Freres & Co.

Kidder, Peabody & Co.

I ncor p orate d

LF- Rothschild, Unferberg, Towbin

UBS Securities Inc.

Lehman Brothers Kuhn Loeb

la c a ipo w ted

Shearson/Amerlcan Express Inc. Smith Barney, Harris Upham & Co.

laooipofiteif

Warburg Paribas Becker Wertheim & Co* Inc. Dean Witter Reynolds Inc.

JLfeBaohor

Greenshields & Co Inc

Wertheim & Co* Inc.

Ben Gouinlock Incorporated Bums Fry and Timmins Inc.

Midland Doherty Inc.

Pftffeld, Mackay & Co* Inc.

Daiwa Securities America Inc.

Kleinwort, Benson

Robert Fleming

te ea rporated

The Nfkko Securities Co.

iBteraadpari, lab

Yamaichi International (America), Inc.

Nippon Kangyo Kakumani International, Inc.

Nesbitt Thomson Securities, Inc.
Richardson Securities, Inc.
EuroPartners Securities Corporation
New Court Securities Corporation
Nomura Securities International, Inc.
New Japan Securities International Inc.
Sanyo Securities America Inc.

liner and Euclid.

Mercedes - Benz of North
America will continue to be the
passenger . car importer and
distributer and will also be the
parent of the recently formed
Mercedes-Benz Truck Company.
In addition it will be the parent
of Mercedes-Benz Canada, of
Mercedes-Benz Service Corpora-
tion and of two companies
responsible for retail sales
operations in New York and
I .ns Angeles.

OVER the past year syndicated
Slrta loans have become a
significant element in financing
the medium requirement erf
Spanish industry, notably
e £Tof the aatejwj*^ com-
pany. ESI, the steel indus&y,
am 4 the utilities.

Resort to large-scale floating
rate peseta syndications reflects
the financial liberalisation set in
motion in 1977 by which the
Government sought to introduce
a proper capital market in Spain
and remove "tiie otrt-dated
dependence on commercial and
savings bank lending at un-
economic rates. '

The first syndicated peseta
loan— Pta Tbn of two-year funds
— -was signed in October 1980
by the national motor group.
Seat Since then about Pta lOflhn
(S1.03bn) worth of syndicated
peseta credits have either been
signed or are being negotiated,
the vast majority of which were
initiated during 1981.

The Seat loan, which set the
ball rolling, was to some extent
political. The company was
state controlled, and the banks
participated largely as a gesture
or solidarity for a troubled
national company.

The real test for the new
market came last May when
Chase Manhattan successfully
negotiated a Pta 7bn' credit oyer
six Years for the private utility,
Sevillana- This represented a
breakthrough for two reasons:
it extended the length of the
credit significantly: and it
showed that Spanish banks,
albeit on foreign initiative, were
willing to try the process in the
private sector.

Bv offering a six-ypar
maturity the Sevillana credit
broke the innate caution of the
Spanish banks regarding the

length of such a large credit at
commercial rates. For the more
conservative -Spanish hanks the
initiative came as an unpleasant
surprise. • ■

This sense of encroaching on
a local preserve toy a foreign
bank quickly prompted a
tion. One month later
Spanish banks themselves put
together a loan
Sevillana. this time foi Pta wn
but also over six years. Since
then the new market 4ms not
looked back.

The syndicated peseta loan

market bas been nurtured by

the Bank of Spain, and has
been championed by tbe more

Financial liberalisation
instigated by the Spanish
Government in 1977 has
led to considerable
development of .Jfce
country’s capital market
and significant growth in
syndicated peseta loans.
ROBERT GRAHAM in
Madrid reports

aggressive of the large Spanish
banks. Banco de Vizcaya in
particular has been active,
being agent in six out of the
13 credits so far arranged.

But stimulation has also
come from external forces. The
depreciation of the peseta in the
past 14 months has been sharp.
At the time of the signature of
the first such loan the peseta
stood at Pta 76 to the dollar.
The parity is now down to
Pta 97 against the U.S. currency.

Not unnaturally depreciation
on this scale has forced many
companies and institutions to
turn away from the Euromarkets
and tap instead a less costly

peseta market Hand In hand
-with the difficulties of coping
with exchange rate risk has
been the risk of fluctuating in-
terest rates. Borrawere have
preferred, to opt for fluctuations
■in local . market rates. And
this toe has been a' novelty.
Until recently Ifee -idea- that
there could be floating peseta
loans for medium teiat finance
-was almost inconceivable.

A further element .that has
favoured the development of
peseta loans has been the air-
plus liquidity in the Spanish
banking system. Demand for
private sector credit has been
slack, so much so that the Bank
of Spain has revised downwards
its money supply targets.

The market, ' however, ; has
clearly begun to approach its
current optimum and cannot
expect to continue to expand
at the pace of 1981. Indeed
there is concern tha t lar ge scale
funding of angle institutions or
companies will absorb too: much
ot the. available pool of funds.
This concern wis publicly
expressed recently when the
three integrated steel t com-
panies with an ■ INI ■ guarantee
sought Pta 2Qbn — equivalent to
almost a quarter of the . total
raised so far in peseta credit
form. , .

Some banks complain that
their margins are squeezed on
peseta loans, especially as a
turnover tax is applied. They
maintain that tins could ulti-
mately inhibit the growth of
this market However, the more
sanguine in the banking -com-
munity feel that they have to
learn to live with tighter
margins, and that floating rates
for medium term peseta finance
.will continue to- have an irre-
sistible attraction.

t. . • r

- :

\

Further gro wth in 1981
for Banca del Gottardo

BY JOHN WICKS IN ZURICH

an INCREASED dividend
total and a further rights issue
are announced by Banca del
Gottardo. the first Swiss bank
to disclose figures for calendar
1981. The Lugano-based bank
lifted its balance sheet total by
16 per cent to SwFr 3.65bn
(52.05bn> in the year, and gross
profits by 15 per cent to
SwFr 34.5m. Net earnings were
up by 11 per cent to SwFr 25.5m.

The bank recommends an
unchanged 12 per cent dividend
on increased capital of
SwFr 90.75m, and a silver-
jubilee bonus of 2 per cent

At the bank’s February 26
annual meeting, shareholders
will also be asked to approve a

one-for-teu rights .issue of new
shares and participation certifi-
cates, -the conversion of part of
the participation - certificate
capital in share capital of the
same nominal value, and the
creation of new share capital
without subscription rights for
existing holders of shares and
participation certificates.

If ail the recommendations
are approved, capital resources
will increase, to SwFr 310m,
including SwFr ,80m In share
capital and SwFr 20m In partici-
pation-certificate capital;

The Bahamas subsidiary
Gotthard Bank International
expanded its balance-sheet total
by 12 per cent to $28m in 1981

Montedison

expects

recovery

By Our Financial Staff

MONTEDISON, in a report to
the Milan brokers' committee,
said the top priority for Italy's
biggest petrochemicals group is
to return to profits.

Slg- Mario . Scbiiriberni, the
group's chairman, said a finan-
cial reorganisation to reduce
the groiqi's interest burden,
and a change in the production
mix to. emphasise secondary
chemistry items, should turn
the group’s results round.

The most recent figures- show
the group posted a loss of
L267bn ($223m) in the frrst
half of 1981, compared with a
loss of L435bn for all of 1980,

*■ . «.-»*?

This n nnnnm-gmpnt appears as a matter of record only. November 1981.

Republic of Indonesia

acting by and through

Bank Indonesia

US$300,000,000

revolving credit facility

LeadManagers .

BankAmerica International Group The IndustrialBflnIc ofJapflT}; T!irni tpH

Lloyds Bank International Limited

Bank NegaTa Indonesia 1946
Chemical Bank International Group
NV delndonesische OverzeeseBank
Mi dland B ank International

Managers

The Bank of Tokyo; LtiL
Citicorp International Group
Manufacturers Hanover Asia Limi ted.
Sanwa International Finance Limit ed

Co-managers

Algemene BankNederland NV
Credit Agricole

The Hongkong and Shanghai Ba nking Corporation
National Westminster Bank Group
The Saitama Bank Limited

BankBumiputra Malaysia Berhad
Fuji Mernatiankl Finance (HK) Limited
The Long-Term GreditBahk of Japan, Limited
Republic National Bank of New Ytirk
- The Taiyo Kob&Bank, Limited

Funds provided by

Bank of America NT & SA

Lloyds Back In isrnatioiialliim ted, SuigBpare Branch

The Bank of Tokyo, Ltd. '

GtibankN.A.

Mamifactu c bts Hanover Trust Company

The Sanwa Bank. Limited, Singapore Branch
Bank Bumiputra Malaysia Berhad
Fuji International Finance (HK ) Limited
The Long-Term Credit Bank of Japan, Limited
Republic Na tional Bank of New York, Hongkong Brandi-
TheTaiyoKobe Bank, Limited
The Daiwa Bank, Limited
Kyowa Finance (Hong Kong) Limited
The Nippon Credit Bank Ltd.

Takugin International (Asia) Limited
Tat Lee FinanceSingapore Limited

The industrial Bank of Japan, Limited
Bank Negara Indoiie&ia l946 1 Hongkong Brand)

ChenuCalBanlc

Midland Finanee.fH.K.J limited
Algemene Bank Nederland NV.

■ , Credit Agricole

Tbs H on g kon g and Sha n ghai Banking Corporation
• National WMtminster Bank, 5mgap«e .
: • The Sailama Bank limited

/ Bank Negara Indonesia 1 946 -Tofcy ©Brand*

• Kleinwort, Benson Limited
Mitsui Finance Asia Limited
- .... State Bank;of India.

• V ' . Tat Lee Bank Limited Singapore. "

Agent

BA Asia Limited

N

v

21

istins for

bast

e* *.

i-

V** er o' 5 •;

s to

o-.^V

-(Vf!

. »

i: ‘-d

] y

fl ' it

Its;

BY WONG SCAON^tN lOiAU LUWUR

*

4 toi ■'

Jnartu- *e ..

— • 'i

■‘Ma--* “"fc .

sa^N’. ::

*? « S* •

TC *iCyrr^ •

:s - ir ■.. ir j .V Sj V« ;‘

"W j*t. r
'C ^ ,

U

..-■•« e: > •
r'! 1 ,'. .„ , ■

P’u 2ii" ^ > . •

d V-irc* ’ ■.■*■■■ ^

v> f-.- - r ;

. *** ; #
2‘“^U- 7-’

■-**■.

• • -».r^ i,.. ■

•» -v.

f5S

‘ ij u; ■;. 1

•ntedison

iects

‘oven

’>•' Frr<*Ja»

i > ’. - ;

‘ *"

-~CG r

••

: .Mt^npURPt^; EC&DINGS,
-4fae investment ■ ■ arm: of the
.IfeWtfsian Cfenese- Assmaatiun
{MCA), a pa rtneria the Malay- .
sixn - Goveniaieat, .iaa obtafned-
a listing, qn ; rim iXitaia Luznimz

■ Stock!** ^ZaXitSSm :

■win be tradJSd'froBX January It.

An eppllc&foifor Listing has .
also been ma deto the Singapore .
exchange,wblcb is .expected .to !
allow trading-opthe same day.

-MM£ .was. ineorpomM fire :
years agq.-by -the MCA with a
-public " - subscription ‘ <rf 30m
ringgit :(U-SL$tom ). - After a
seri*fs'y«f‘ -boons, and 'tights
fssues, its paid-up capital is- now '
380nx ringgit in one - ringgit ■
share. It -Would Tank second in
paid-up . capital, after Singar
■-pore's United . Overseas Baa k,
bn toe .exchanges.

Non-ferrous
boost for
Union Steel

By Oar Financial Staff,

UNION STEEL' Corporation,
the Sooth African metals pro-
ducer .which Haims - the lead in
the country - in special steels,
expects its ruHrdeiTous division
to support a “satisfactory”
group'- performance, in the
current .financial:, year ending
September 30. ..

Last year’s. increased demand
for non-ferrous products is seen
as remaining constant, with
profits in the- division' showing
a further . gain.

Weakening motor. todusfry
demand far steel*, and: fierce
ccanpetifion' - from ' overseas
manufacturers of forged tool
-steel, are forepast 1 -

-Uuiibn Steel reported pre-tax
profits of Rl5-03m ($15.5m) in
file nSne ztzoofiis' ended : Sep-
tember 30,- agiiist R17.40m in
the 12 moorths to December 31,
1980, and net profits. of Rll-2m ,
against RI3.4m, for an adjusted ;
gaazxof 12 per cent ,- - ' ' -

EarnSngs per riiare toSnUed
37.64 cents, apabu*' 4195 cents.

•i The - group, controls three
publicly listed companies—
Bandar Raya, one of the largest
housing developer* in Malaysia,
Magnum, the lottery organisa-
tion, and Malaysian Plantations.

It also has equal control ' with
Peraas, a Government agency,
of United Malayan Bankin g
Corporation, thecountry’s third
largest bank, and. has con-
trolling interests in Guthrie
Berhad, and Dunlop Estates,
boto purchased fromtheir UK
parent companies^- last year.

MPH has agreed, as previously
reported, to " issue 20 m new
shares to Bmniputras (Malays)
at. a 1 priee ito; be. fixed by the
Government’s f - capital issues
committed .

- MPH pharos are - currently
trading at 3£. ringgit to 4 ring-

git The group expects to report
.at least 19m ringgit in pre-tax
profits for 1881, and substan-
tially higher profits this year
if commodity prices improve.

MCA controls MPH through
KSSt a co-operative society,
which holds more than 45 per
cent

# Chocolate Products (H)
Berhad, has also applied for a
listing on the Kuala Lumpur
exchange. Zt is making a S.Sm
issue of 1 ringgit shares at L2
ringgits each, of which 43 per
cent is reserved for Bmniputras.

The company, manufactures
chocolates under licensed brand
names like Van Houten and
Windmolen. It expects a pre-
tax profit of 25m ringgit for
1981 and pepfiapes a 10 cent
dividend.

Indian banks hard pushed
to meet reserve ratios

BY KEVM RAFFERTY JN BOMBAY

MANY • INDIAN banks are
failing to meet the stiff er
reserve requirements imposed
by the Indian Government at
the end of fast year. This poses
a delicate problem for the
authorities who have to decide
whether to apply tough penal-
ties or to persuade banks to fall
into Hnet

| -..Senior executives of several
hanks have admitted for the
first time that they were bard
pressed to meet the cadi reserve
requirement and some said that
they ~had fallen behind on file
statutory liquidity rario.' Both
rates have been pushed up
recently. The cash reserve on
deposit -With the Reserve Bank
rose to 7JS per cent of deposits
at Christmas and. is scheduled
•ta rise- ; to 7.75 per cent on
January 29 and to 8 per cent on
February 26. The liquidity ratio
went' up to 35 per cent in
October from the low thirties
earlier in the .year. -
There is more incentive for
banks to. abide by the cash
reserve ratio because there is
already / a boflt-in penalty of
high interest rates on the dmrt-

fall, plus loss of a week's
interest on . the whole of the
cash deposited with file Reserve

In theory the Reserve Bank
can also fine banks failing to
meet the liquidity ratio of
Rs 2,000 ($220) a day but one
bank executive said: “In law
the punishment also Includes
imprisonment, but so far the
Reserve Bank has been under-
standing."

Banks have faced an especi-
ally tight time recently. The
bigger ones had to provide
Rs lbn ($110m) to the Food
Corporation of India, apart from
the usual liquidity and cash
demands. Normal end-year
borrowing requirements of busi-
nesses are also heavy. On top
of this, some deposits have also
been withdrawn to buy special
bearer bonds, a scheme designed
by the Government to mop up
black (illegal) money.

. In some oases banks may be
tempted not to cut overdrafts
too quickly, espectafty if the
Reserve Bank is slow to pena-
lise them for failing to keep to
the liquidity ratio.

Nissan in
talks on
production
in India

fly K. K. Sharma m New Delhi

A DELEGATION from Nissan
Motor of Japan is to hold talks
this month with Maruti, a
government-owned company, on
building ■ a low-price car in
India. Other contenders include
Renault and Peugeot of France,
and BL of the UK, but indica-
tions are that Nisson is at
present the favourite. Agree-
ment could be reached in the
next few weeks.

In a separate deal, Nissan
said, it has tentative plans for
it and State-supported Hydeabad
Allwyn to build an assembly
plant to manufacture a three-
tonne track in Andhra Pradesh.
Central India. Final agreement
bas not been reached yet,
Nissan added.

The controversial Maruti
project was started by the late
Mr San jay Gandhi, son of Mrs
Indira Gandhi, the Prime
Minister. After setting up an
elaborate factory complex in
Haryana state, he abandoned
plans to make the low-price
gmaH car for which the project
was licensed, and diversified
into areas such as road rollers.

After his death in Jane, 1980,
liquidation, proceedings were
started. But shortly before the
courts were to pass final orders
on Maruti, the Indian Govern-
ment nationalised it and paid
off all its debts. It was then
decided that Maruti. should
again attempt to make cars.

At present, only two cars are
made in India and both are
highly priced and obsolete.
Recently, however, Premier
Automobiles signed an agree-
ment with Fiat to import dies
and other equipment to make a
new model at its plant in Bombay
where at present it makes the
Padmini based on a previous
agreement with Fiat of Italy.

The other car manufacturer.
Hind ostium Motors of Calcutta,
has just signed an agreement
with Vauxhall .of Britain to
make a new car at its plant
where it presently makes the
Ambassador which is based on
a collaboration agreement with
Morris that lapsed more than
two decades ago: ■

Fine terms seen for Indian steel plant loan

• ... BY KEYiN iMJfiBriTf ;; -Vy

INDIAN next bigrinteraational
commercial' loan, for .the steel
plant project won recently by
Davy Corporation of ^ the UK,
may- reach- tibiy according to'
bankers -in Bombay. Despite its
size, the- offering.. may attract,
the finest rrates that- developing
Asian countries . have ' seen, ‘
thanks to tix.-epncessions and
export credits. •'

: Negotiations- • will begin in,
earnest, before the, end of the
month- whqn the location of the
steel plant has been finalised.
Some bankers -are talking con-'
fidently of a spread of a fiat
5 .per cent above the London
interbank offered rate (labor)-.-
for the 10 year Kfe of the loan.'
Others . contend that - if • the--
Indian . Government - pastes
hard, it may achieve a rate as
low as i per cent, at least for:
part of the term.

. The total cost of the l-5m
tonne a yeat plant, to be built

at Paxadip in Orissa State is put
at $2.87bn, of which $L5bn waH
be provided under export
. credits from the UK, France
. and ”- West Germany and a
farther $5BGm in aid front the

- UK and France. The size of the
t Euromarket loan was originally

- pencilled in' at $750m, accord-
ing to bankers at the State
Bank of India, the country's

..largest commercial bank, but
will probably now be of at least
$80Qm and could reach $lbn.

. Tbe~ very fin* terms are
expected because of the packag-
ing -of the loan which will allow
the, benefits of the export
credits and -of - the double taxa-
tion agreement recently signed
:- between India an id the- UK
The. bahkms did not go into
the details of the pac k agi n g, but
said that a spread of \ over
Labor: for this loan would be
e q t a v ate ni to 1 per cent or even
lUp’tD 1.4 per cent above labor

for some lenders.

. As there is still not much
Indian borrowing on the mar-
ket and banks ere reported to
be competing keenly to get into
the deal, the Indian Ministry of
Finanoe may try to pare the
rates even more finely. .

The lead managers for the
issue wiH be hazard Brothers
of the UK Davy’s Bankers, plus
Paribas of France, Commerz-
bank of West Germany, and the
State Bank of India. Alsthom of
France and Schloemaim-Siemag
of Germany will be Davy’s
principal partners in the project
The lead group is also exp ected
to include a number of the UK’s
big four basis plus Manufac-
tures* Hanover Trust of the U.S.
winch bas been courting India.
India is keen to see good
representation from Japan
among the lenders.

India is supposed to limit its
commercial borrowings to about

JUSan a year for the next
three years under the terms of
the SDR 5bn ($5Bbn) loan
from the International Mone-
tary Fund, but the Paradip pro-
ject i s excluded

Because of a shortage of
-traditiODal ,ia&r...loan funds.
India wiM, however, be pushed
more into the commercial mar-
kets. The industrial Develop-
ment Bank of India, the major
supplier of long-term funds to
Indian industry, has just
raised its first syndicated loan,
lie value of the Swiss francs
offering was raised from the
equivalent of $15m to $25m
because of the response of the

- hunks

The Government has also
given permission to private sec-
tor business to borrow inter-
nationally without government
guarantee and an • offering
worth about 328m by Reliance
Textiles is nearing finalisation.

new Issue

U.S. $5O,OOOjOO0

Montana Power International Finance N.V.

15%% Guaranteed Notes Due 1987

Unconditionally Guaranteed as to Payment of Principal*

Premium, if any, and Interest by

The Montana Power Company

Kidder, Peabody International

. _ . _ ;... Jimrttgt . _ ..

Amro International

Mate*

Commerzbank

County Bank

Halted

Bank BnssdLainbai: N.V.
SoriMe Generate

Sodete Generate deBanqne SLA*

Union Bank of Switzerland (Securities)

IW<*

AJabS Bank of Kuwait (ESC)

ftiinrfl r nn u n er rialp.Mann

Bank Julios Baer International

United

Bank Leu International Ltd.

AJgemme BankNederiandN.V.
BancaddGotiarflo

AIM Group

■ •* ■ ’ ■ • • ■

Banco 61 Kama

Bank Cmfeufe Swifzeriand (CX)

ArnMd and S.Bfo'rfiroeder,Ihc,
Bank of America International

limited

BankGntzwiBer, Kirr^.Bangms’

(Omu) Limited

Bank Mees & Hope NV

Bank Leu International Ltd. BankLannUe-Israel Group Bank Mees & Hope NY

Banone Aiaibe et Internationale dtevesdssemest Ban^fBeFrangafceAiCbinnirtceExiifirienr

(B^iX) . -

Banqne Gen erele do Tjnremfw mrg 5? . A . Banqne deFIirfochine et de Suez Basque Intarnatio nale a Luxembourg

Basque Na tionalede Paris BanqueFariente Banque de Paris et des Pays-Bas Banque de Participations et de Placements S A*
Banque Popolaire Suisse S^. Luxembourg Banqae Privee ^GrafionEnandere BanqnePriYeeSA.

BanqoeScandmayeen Suisse BanqnedeFUi&niBnropeenne Banqne Worms Bardqys Baris Gronp Baring Brothers & Co,
T jnfTA^Kynlf GjpnT i*nfrple Bayerische Yereinsbank Bergen Bank A/S "Beriiner HanSds- und Frankfurter Bank

BlyA Eastman Paine Webber B.S.L Underwriters Caisse des Depots et Consignations

JolmatimMlIJaUti limited

flnmnMirnifi dc Rvnone et dTnvestrssemfiirts. GBT Contmental Tflinois Crefit Commercial de Prance

Blyth Eastman Paine Webber

TMtal

Comp^nie de Banqne et dTnvestissements, GBI
Credit Industrie! d’AIsace et de Lorraine Cr

B. S. I. Underwriters

BI Continental IOjiUHS

TJhpIl^

Credit Indnstriel et Commerria! - •’ Credit Lyonnais

Creditanstalt-Bankverein Daiwa Europe Darier&Coe

Effectenbank-Warirarg EuromobiEare Enropean Banking Company Genossenschaftliche /entraibanK Ali

United VlnM.

Girozentrale nndRimk Jpt ngtprrpi fbkrb <Hi Spark assen Goldman Sacbs International Gorp. Ham brosB ank

. **— — t iTlwftifT limited /

HandebbankNW. (Overseas) TTandeRRmiiz K aiik~ Hentsch KGOffiniffinl

The Hongkong Bank Group Bdnwort, Benson KrediefbanfcKY. UrecGetbank SJLLuxembonrgeoise

Enwrit Fore ig n TrarCng Cnnfnmting & Tnvestmpjit Co^ (SAX) Kuwait International Investment Co. SAk.

Kuwait Investment Company (SJLK.) La Roche & Co. Lazard Brothers & Go^ Lehman Br other s KnimLoeb

Timdfdd Iiitnmflwal , Inc.

Doyds Bank International Lombard Odier International SLA. - - - LTCB Internatiooal ^Mamdacturers-Hanoyer

limited limited limited

Merrill Lynch International & Co. Samuel Montagu & Co. Morgan Grenfell & Go* Morgan Stanley Inte r n atio nal

e Dentsche Girozentrale
—Deutsche Kommnnalbank—
European Banking Company

is Credit Suisse First Boston

liBg*

DGBANK DresdnerBank

Genossenschaftliche Zentndbank AG

The Hongkong Bank Gn»q)

Kuwait Investment Gor^any (SJLK.) La Roche & Co. Lazard B rothe rs & Co^

Doyds Bank International Lombard OfierlnteniatMHialSA* - - - LTCB Internatiooal

Jtelttd

Merrill Lynch International & Co. Samuel Montagu & Co. Morgan Grenfell & Co.

limited limited

The National Commercial Bank Nq^JonLaeSttetEcnational (BK) Ltd.

The National Commercial Bank

( S—dl A ribii)

Norddeutsche landesbank Girozentrale

le NorfficBank SaL Oppenheim jr. & Ge.

’ i - limited- *. ■• *K‘ ;

Pictet international Ltd. Hetson,Hddring & Pierson N.Y.

Osterreichische Landerbank

Nomura Interna t io nal

limited

Orion Royal Bank

United

Rahn& Bodmer

Rothschild Bank AG

N. M. Rofhscldld & Sons

United

J. Henry Schroder W^g & Co.

A.Santsm & Ge * J.Henry Sdneder Wagg i

limited

Sodete Bancaire Barclays (Suisse) SA. Geneve
Verhand Schweizerischer Kantonalhanken
M. M. Waibnrg-Brinckmann, Wirtz & Go.

WHfiams & Glyn’s Bank

Salomon Brothers International
SkamEnHYiskaEnsk3daBaiiken
Snmitomo Finance Internationd
Yerete - un d West bank
S.G.Wariraig Sc Co. Ltd.

Dean Witter Reynolds Oversea Ltd.

SanwaBank (Underwriters)

limited

Smith Barney, Harris Upham & Co.

tean«M

Svenska HandeUbanfren

J.Yonfobd&Co.

Westdentsche Landesbank
Girozentrale

WoodGnndy

United

’id®

WE, THE
LIMBLESS,
LOOK TO YOU
FOR HELP

Yfe coma from both world wars. .
- We<»raefmm Korea, Kenya,
Malaya. Aden, Cyprus . . . and
' from'UlstBK...--

| . Now, disabled, we most look to
you for help. Pteasa help by

[ i WLm h I |||flrTiUT|l helping our Associafen. BLESMA

looks ■after the Bmbtess from all
the Services. It helps to overcome
the shock of losmg arms, or tegs
i or an ^Y®-' And;.for the severely
MTlB r^3MQ handfcdppol r R provides

Readenfial Hotnes^ where they
cantfve in peacaand digrety.

mprflan riftiA ud, DaptftwiitTT ■ ... BLESMA. Weprombq YQUJhat

ro^^SmthOekLtiJtxfonKlASDX . . not

ENTE NAZIONALE
PER L’ENERGIA ELE1TRICA

U.S. $100,000,000
Hoating Rate D*enfiires due 1987

Convcrtibloat Ihzpc&texg (^tfiaiiinto

Rxcd Kate Debentures due 3995

GnaranleedbytheKepnbBcofltaly
In accordance with the provistons of tfre '

U.S. $36,303,260

Medium Term Facility
for

BANCO DI NAPOLI

SEZIONE DI CREDITO INDUSTRIALS

, AtBcavuar

MnnbdaKol

BANCA NAZIONALE DEL LAVORO • .

SEZIONE DI CREDnp INDUSTRIALE

aod

: 1SVEIMER
CONSORZIO S.CC.

- • - ‘ ■' A»RmdTateT

To pazffiooics a project kiAJssda

UHBQEdby

HRST CHICAGO UMTHD CREDIT A^RICOLE

‘ ’ THE BftWC OF NOVA SCOTIA GROUP ’

UBYAN ARAB FOREIGN BANK
. .. .. . THE NIPPON CREDIT BANI^ LTD.

CCWnNENTALEDU

EMBOUKGSA

BANQUE JNIERQDNTINENTALE ARABE

EUB 0 PEAN ARAB BANK THE DAIWA BANK IMTED

NEDERLANDSE C 3 IEDIEIBANKNV

. . ProiSiedtp

THE HRSTNffUONALBANKOF CHICAGO

CREDTTAGHCOLE

THE BANK GENOVA SCOTIA CHANNEL ISLANDS LIMITED . ‘ •
UBVAN ARAB FOREIGN BANK . THE NIPPOT CREDIT BANK, UD.
BANQUE OONUNENTAIE DU LUXEMBOURG SA
BANQUE INTERCXXTnNENTALEARAffi -
THE DAIWA BANK UMTIH) . EUROPEAN ARAB BANK
JEDERLANDSCTEWEIBWIW- ARAB HELLENIC HANK SA '
BWQUEINIEffiWnCWAEEDEGESTONEriSTRESOREpIE BIGT
OTXEEBANKLIMrrED. SINGAPORE

|R| FIRST CHICAGO

Nwant«rl98I

These Notes having been sold, this announcement
appears as a matter qfrepoid onfy. . . . _ >

New Issue

December 1981

Red Nacional de los Ferrocarriles
Espanoles

..... . SDR 50,000,000
Guaranteed

Floating Rate Notes doe 1989

irrevocably and unconditionally guaranteed

■- .. ■; - by • ; *’ • ’

The Kingdoin of Spain

Orion Royal Bank Limited . .?

Allied Irish Banks limited

Daiwa Europe Limited • ■

Fu|i IntematinnalFinance limited
LTCB Infemdfimial Limited
Morgan Guaranty Ltd
. ; . . Sod6t6.Generale ^ •- ±

' S nrmft tmnFyti^Tit^TfiternatiQiial

22

APPOINTMENTS

CURRENCIES: MONEY and GOLD

Managing director
for Olivers Hartley

BSr John Morrison has been ap-
pointed man.-iging director of
CHIVERS HARTLEY, the pre-
serves subsidiary of the tea
and foods division of Cadbury
Schweppes- He moves from
Jeyes, also a. subsidiary of Cad-
bury. Schweppes.

*

D. ML SLADE AND CO. com-
menced trading on January 4.
The directors are Mr Martin
Slade, Mrs iValerie Slade and Hr
Derek Thornton. The company
will trade in association with the
Kinin month Group of Lloyds
broking cprapanies. Mr Slade
will be joining the board of
Kzninmnnlii Management, Kinin-
xnocth Marine, and Kininmonth
Bask Management. Mr Thornton
is appointed a director of Kinin-
month Rink Management.

★

Lord ’Wlndlesham, has been
appointed to the boaid of the
{GATEWAY BUILDING

-SOCIETY’.

★

Shell International Chemical
jCcrnpany has made changes in

the organisation of its mter-
natiooal trading activities. fYn in
January 1 a hewly-created dm-
sionralled SHELL CHEMICAL

INTERNATIONAL ^ jading
COMPANY (SOTCO) wdltake
over responsibility for inter-
national sale* petrochemicals.
The president Of SCITCO will be
Mr A- N. Binder and the follow-
ing vice-presidents are appointed:
jrtr e. L E Del boy (industrial
chemicals trading); Mr R- Land
(organic chemicals trading): Mr
j E. Lane (polymers trading);
Mr C. N. Weller (East Europe
and Middle East trading); Hr
M. P. Uppner (supply and dis-
tribution): MrP. Brock (finance).
*

Mr Michael Butler and Mr
Andrew Stoppani have been
appointed directors of
MACLAINE WATSON AND CO.,
the London subsidiary of Drexel
Burnham Lambert, U-S-
•k

Mr R. W. Goodfellow, Mr D. D.
Grant, Mr R. L Hargdt and Mr
J. P. Monaghan will be joining
the partnership of BUCK-

MASTER 'AND MOORE, stock-
brokers, on January 8.

Mr R. E. Cole has been
appointed to the board- m
CAMERON RICHARD AND
SMITH INSURANCE SERVICES
following mutual agreement with
Seas cope Holdings regarding
ter m ination of his former con-
tract Mr John S- Bennett has
also joined the board. Mr Cole
has also been appointed a direc-
tor of Ropner Insurance Services.

*

Mr A. C. Biz has been
appointed marketin g dir ector of
SONAR AND FLOTEX, carpet
subsidiary of the Low and Bonar
Group, Dundee.

it

Mr Simon Everard is the new
vice-chairman of the LEICESTER
BUILDING SOCIETY, succeeding
Mr Roy Kemp who has retired.
Mr Everard is chairman of Ellis
and Everard, Leicester-based
chemical merchants.

*

WHEELOCK MARITIME
INTERNATIONAL, pan of the
Wheelock Harden Group, has
appointed Mr C B. M. Lloyd as
a director.

+

DRAYTON MONTAGU PORT-
FOLIO MANAGEMENT has
appointed Hr Cihre Blomfield-
Smlth and Hr Nicholas L. Taylor
to the board.

★

Mr Nigel Keen has been

appointed an executive director
of EUROPEAN BANKING.

*

Mr L Darke and Hr D.
Middleton have been appointed
directors of Turner and Newall’s
subsidiary, BIP VINYLS. Mr
Darke • has been marketing
manager and Mr Middleton works
manager-

★

Dr Laurence H. Smith retired
from MONTEDISON UK at the
end of 1981, and has ‘ been
appointed for 1982 to a visiting
professorship in the department
of business studies in He
Queen’s University of Belfast
*

CHAMBERLAIN PHIPPS has
appointed Mr L H. Phillipps as a
non-executive director. Until
July 19S1 Mr FhUUpps was a
member of the board of Tnbe
. Investments and chairman and
managing director of TX Raleigh
Industries.

k

On January 27,. the chairman
Of J. A. DEVENISH AND CO^
Mr Anthony Ledger mil, will
retire, and be appointed presi-
dent of the company. The new
chairman will be Devenish's
deputy chairman, Mr Richard
Hargreaves who joined the com-
pany as a director in February
1980. He recently retired as an
executive director from the main
board of the Savoy Hotel Group.

FT UNIT TRUST INFORMATION SERVICE

OFFSHORE &
OVERSEAS

SJL Europe Ofafigrtfams SA.

?, ATgiue de b Lib e rie, p nwrtwt

Etrapehbngttkffi-f USSttJO WM* 177

Leopold Joseph & Sons (Guernsey)

Hlrztt CL. SL Peter Port. Guernsey. 0481-26646,

Save & Prosper fn
Peplna -

Me investment

PMket 70&. 8000 Munich 1. J eta 524269
At rente- — — -Bug bO

Afiwrta. Wg-15

Fot*i»fc pJCTiB

Fwdfc n

Albany Fbnd fi^anagenwrt limited

P.0. Ecx 73, SL HeTier, ienei. 053473933

Albenr9Fd.(Cli [l!SSDtI7 176.7U . — 4 225

Nad dteling Jn. a

ftv Ateenfcr Fud see Uojte Bank intL Bimtq.

AUefl Kanrey & Ross Inv. MgL (0.1.)

1 Charing Crca,SLHetter / Jsj,C-l. 0534-73741

tPhocdur Haw as

Alfiznce Inter na tional BoRar Reserves

'*$%**!

Distribution Dec. 30-Jai 3 (0.00620) 026%

PAJ

Artartfunyr Securities (C.I.) LfaL (aXcXh)
P.O. Box 284. SL Hrtler. Jers-y. 053476077
Dollar loom Tst — HJSSLJW 0.99? w J 16 00
East lidl.ttEnenB'_Il>U 14631 40.11 _0JB
Gtw’ISKS.TsLlClL.lw.O

UA Bond Investments AG

10, Baararctrae CH6301, Zug, Switzerland
BeonsrSM. Dsc. 19.. P0 jO70 106001 . —

Bank of- America Int ern at io nal SA.

- 35 Boulevard Royal, Luxembourg GU.

F 1

Barbican Managers (Jersey) Ltd

PH BBT 63. !

'.Barb. ML Fund

-B a rclay s Unicom I n ternationa l

Gin Fond.

Flaring Jam Fund SA
37, rue Notre-Dancv Lmwnbourft
Fleming Jan. 5 I USSSLtt 1+0*1

Frankfurt Tried l imut h wid Gu d ri l
(Mesenau 3, D6000Fianfcftat
FT-llMT)

Ftankft.1

Free World Fund Ltd
BteterMd BUR, Hamilton, Bvmafe.

NAV Nov. 30 | US$1 55.50 I — J -

6 . T. Management (ILK.) Ud

atskr* 8 ** 1

w

l: Korea Inmt That Co Ltd
caste m Kta.

NAV (Woo 714266) IDR^ta* USSX016000

P.O. Bar 63, SL He&er. Jersey 0534 74806

[1117 iZUI J 200

053473741

Da. Aast. Ma _B5 h

Da&tr. Pacific R32.'

Do. Inti. Irawnr [29 2

Do. life of Man Tst — 09.6
Do. Man Mutual ,

Btsh op spate Commodity Ser. Ud
P.aBn«,Datd9^IJ)JL 0624-Z39U

JSh3isr

The Kona Trust

Dnfaan hi v es t m en t Trad CB lM

FM BulUng, 1-124 VWdfrdoq, Scad Korea.

NAV I US$14.95 1 ..,.J -

Land Brothers & Co. (Jersey) Ltd

P.a Bax lOd St. Metier, Jener, C.I. 05343736a

Lloyds Me. (CJ.) U/T Mgn.

P.O. Bat 195, SL IMRer, Jeraor. 0534Z7561

4 1475

Lloyds
PJX Box 438, 1ZU

MIS:

J. Haoqr Schroder Wagg & Co. Ltd
12Q, Oxapdde, B2. 01-SBB400a

Am. Ux-TsL Dec
Asian Fond Dec;

Sctvoder Unit Triat Mgn. InL Ltd
Bax Z73 St. Petir Port. Guernsey. 04B12S750

lA^ja eRy- K741 49761 -3

Gartmore Invest Ltd Ldn. Affts.

2, SL Mary Axb, Lnodgn, K3. OU2B33531

GvtBBR Ftarf Mm (CJJ Ltd

43- Broad SUSLHUter,
ffll RwdUeraey) (75.1

miRHO—Dec.7...

Bridge Man a gement Ud
CPO Box 590, Hong Kong

Nlppm ^ C D^3riilSS^‘Z444j 'Z.l U1
Britannia Inti. Investment Mwg oL Ltd
Bax 371. Omamaf
mMrjtnqC. 1 .

11 (Swltariand)

Ueyds Bank l at e nuU o m l. Gnenoey

PJL Boa 13k Guernsey, Channel Uaafe.

Aleamto-Rnri 1 . USP3J2 L— 1 -

MMWS9r8

MAG Groop
tlraOaATo

Sjr^asSma.

HU EC3R6BQ. 01-6264568

Sentry Auwam. Interaatioal Ltd

P.O. Box 1776, HaraWon 5, Dnnirti
Managed Find RStlffn 5J4561 _J -

HjfL,

AianlBiTs...

HKiPac. U. Tst (

N^Arr^kan' 1

Inti. Bond Fjod-

brtnan FM Ihopn 00M) (41

P.O. Box 32 Douglas, Isfe of Man TeL 062429911

Asacuranoni GENERALI S p A

P.a Bax 132, St PetR Port. Gaermey, C.I.

eranvOta Management Limited

P.Q. Box 73, St Jersey. 053473933

Guinmu Mriinn Fd Mgn. (Gnemsey)

Atlantic Ex. Dec29_

Ausbal QDec30

GSdEx-OwST-

Acorn. IHte

P

(Accun Units)

Ml

d =

I find

i

l M'uSS s -

8 mm SWp)ey Tst Co. (Jcney) Ltd
P.a Bax 533, St HeUer, Jersey. 053474777

BASMtimBR

Botterfidd Management Co. Ltd
P.a Bo* 1«, HnrtRon. Benwda.

-fsss=w;mz djf

Prices a Dec 7 Tnb 4 sob. Og Jai 4

CAL I n vestme n ts (toM) Ltd

16, 9L GeoysA, Dmglx, lOfft, 0624 25031

CAL Ciidty. fiCracj.'

CAL Metab**

Next dteUng ifcf *4an 1 3.

PO Boa 38k SL Pour Port, Guernsey. 0480.23306.

Hambra Pacific Fond Kgd Ltd
2110, Connaught Centre. Hong Kong

ssas sl-i =

Hao*ros Fd Mgn. (CJ.) Ltd
P.a Bax 86 Goernsej
OpttriRasencFd

Ma na g em e n t bdernational Ud

Bk. of Benaaft Bldg, Bemud 809295^000

\z±um

Pitas oi Dk. 24. Nut dtatae Dec. SL

Mutand Bank Tst Cent (Jarsey) Ltd
»34,HHl St St Hefier, Jersey. QS4 36281

SSsetSalB- ”53 d 1 ®

Smmd Montagu Ldn. Agents
UA, OM Bnul SL, EC2 (H-5BB6464

&& 5Sfc

SIieb aa?

Mmerais, Ms Rea. Stas. Fd bid
P J1 Bax 194, SL Heder, Jersey- (&3427441

MORES Dec- 3) 1USJ961 WJ3| — | _

Mong, Jo tm stnne (tnv. Adviser)

165 Hope St, Gbsgm, C2. 041-221550

I Sits. Fund

^hcqri eRwt*

IntnL Bond .

IS:ISVsg=

lHt a %ces pK t Nut detilm , . .

tExdudes HtM dBrge at sntil artkes.

He n de r so n Admin. (Guernsey Ltd

‘ - sw 048126

1363+01 -

Nat W u t n w u ter Jersey Fd Mgn. Ltd
23/25 Bros! St, St Kefier, Jersey. 053470041

! Income Fbnd — MO? «2Q -1G 1429

f Fund,

Signal Life ft i n a vi i Co. Ltd

2C Secretary's Lmc, GVyaiUr 01035073037

Groutta Suable FU-ICU7 2J71 — i -

Singer A FHedbnder Ldn. Agents.

20. Cannon Si, EC4. 01-248 9646

IS

Strategic RMad Triast Kbps. Ud

- , I0M 062423914

O970| . — J -

Stronghold Management Lkatted

P.a 8u31& St Haller. Jersey. 0534-71460

ConrnxtaylW P3621 143381 — 4 -

Surinvnst (Jersey) Ltd

4, HBI SL. Daigtas, tde d Man 062423914

Copper Tnxsl 10230 UlSHUH -

TSB Tried Funds (C.L)

IDVHarfSt, StHeHer.Jetsqr(CI).
TSB GteFutiUd—

Tokyo Padflc HokEngi N.V.

liiifris IBamgeamO Co. MV. Curacao.

NAV per tea Dec. 2a USS90.7U.

Tokyo Pacffic HMgs. (Scaboud) N.V.
Mails Mmaaeu enl Co, MV, Cum
NAV per dare Dec. 28 US$6618

Tyndal Group
2NeuSL,StHefleT,

TOFSLDac.31
tAcoxn. stares)

053473494

Captures SA.

pZin 178 12U Geneva 12, 010 4122 466288

=mi - c

Capital Asset Manag ers Ltd
Bemwda Hse, SL Julians Aw, St
GuemerC.1-
The Currency Trust -1103.0 1096| — I 0.91

Capital I nt er n at i nual Fund SJL
43 Bndevard Rond Luxemtan

Capital InL Fbo d 1 US$26.76 [ „_.J —

Central Assets Ntanagement Ltd
Chanel SL HeHer. Jersey- 0534-73673
Central texts IE206.92 206.951+006) -

Cha rte rho us e Japbet

iSSM. .sa-TiT

‘Nwemher ^ text s*. tey'jotay??
Ctaaston C to aw ua dti e s (Isle of Mao) Ltd.
29, Athd Stron. Dougfes.lxt-M.

7 New SL.SL Peter Port, Guernsey 04812654172
American (US cents), (1^5

Henderson Baring Gw*

801, Gloucester, U. Pxdder, Hong Kmg
*4idraRa*.

Negft SA.
10i Bnuterat
NAVN0V.Z7.

39 — I— J —

ILEX. Intmnotional Ltd

P.D. Box 119. St Peter Port, Guernsey, CJ.

An*rtcacDec.31 —

(team stores)

Fa- Eastern Dec. 31_
(Acoxn shares)-. —
Jersey Fd Dec. 30_.

(Acom Shares) _
Vktery MblDi

RjannteratDec.17.

HM-Samoel A. Co. (Guernsey) Ud
8 LeFe&we SL, SL Peter tot, Guensay. C.L
Guernsey TjL 1 19U 2051$ -SJ| 338

MR Samuel Investment Mpd IntnL

P.a Bax 63, Jersey. 053476029

- Lfe.Fd-.M9A «4a :;; jj|g

L uxa m b o w g.
uss 2 D_n i-oas —

imaSTHTAB. taLlSSC UdtSta.

PIkuhIi hdentdnal
POB at77. St.Pety Pat to era. ^ 048126741

In

Curencj t &

Carahm Im. (Guernsey) Ltd
PU. Box 157, St Mr.mjMV ,

Itrinl. Man. Fd I2Z7JI 247.H — J —

Cortes International

10 a, Boulevard Royal, Linenem-g.

Cortex* InW 1 USS94.90 1+0X8 —

Crai gt noont Fixed InL Mngrs. (Jcney)
p a Box 195k SL HeHer. Jersey. 053427561

DW5 Deutsche Get F. Wert papia ip

GnineburgiMe H3> 6000 FrariArt

imda — SMMS 30.961-029 -

Delta Grom

P.a Bax 3012,

Dett. Inv. Dec. 29
lam Aperts: Melmwt

Dentscber I n v es t m en t -Trust
posfedi 2685 Btetegasse 6-10 6000 Frankfort
CB nceaW — 1BQ4.58 37.

IrLlfeutamh
DreyfltM I nt er muti nentat Inv. Fd
P.a Bax N3712, Nassau, Bahama*.

NAV Dec 29-. (US57U7 31011 — J

Dwcai Lawrie Inv- MgL (Jersey)
VtaorjHnj* , SL Peter RH, Guernsey.

,h>M 062425015

m E£~‘-

Iff Mtemn e mant Services let,

eja Registrar* P A Bax 10H Cam fe, BWT.

leant Gold Frid NlSWaff 8L70I —4 -

tLV. lufi itwlwti
PA Box 5% Oeffl, Hotbod
Eanere6W(ffierPM)|Dn7LBI - 1-0021 2J3

Inbrnatbrnd Bond Trust

2. Dnde ia m Red leottew

NAV Jen. 5 fUSJMifl lOMIHUai -

In teraa ti omi P ac i fic Inv. MgmL Ltd
PA Box aaSt, 5k PM SL, Sjtioey, Aust
JrwaoBfljayTc — IAS3J4 3Md 1 6JS

Investment Advtiars, Inc.

FM I nte r nati on a l Plant Houston T*

FinOMiC HWMLFd.nl. —

Providence Capitol Life Ass. (C.L)

PO Bar 12L St Pmr Part. GmnoBy 0481 2b72£W9
* IRt Ma4 47 J1 — J -

~ „ iroyi ■* “j

Pnces i ftec 30 Naf do^ig &

Orest ftmti Mbl (Jersey) Ltd

P.a Box 194, St HeSer, Jersey. QS4Z744L
■

oe Hereafter 3a Nut tfotirg Jauey 6 .

Qritter/HetaaM Co w— dWes

3M9 Grutmn Street, S2V7LH. 01-6004177

Rtee FtL lot Dee. 1^.|B431M 3WM — J —

^i£S&

SaNAKl

slvo, 01 ^^ 1

Union ImutimiitGoelbchalt nbH
Asttech 16767, D 6000 Praterfort 16.

Unifomk.

Vbnbniglt Rnd MogmL ML Ltd
2834 HU SU SL HrilerJersey 053436281

VMrvpi Ctereay Fdjlihjl 107 JJ -05 973

_vao Cots— & A ss o ciates Ltd
42, Eaex Street, U»dtxvWC2 01-3536645

PuAnwr. Q\ Fd] USS&S ! — ] —

(EL-6004

S. G. Warburg & Co. Ltd
30, Greriteni Stroet, ECt
Energy I oL Dec. 30 '

UercnEwtd Dec.:

Merc

Sokct Ri. Due. 15 — P
Warburg Invest NhgL Ltd

7lifaranrPlace.StHdbr,Jqf.Q 053437217

ffli “

SWT Ltd. Du. 31 lf^a 286

Marc. Tran. □« 29~i£L4J3 14^ YZ.i 3X

Wanfcy Investment Serv i c e s Ltd,

4tfi Floor. H— > House. Hoag I fa«
Writby'

wadey f -

WJnUry BoodThia_ l;

Wardqri— i TtuL^

Richmond Life Ass. Ltd
Douglu. I AM.

DL Starting, -

, ... JanSne Fleming & Co. Ud

Ittla If ft

IF

PL iBten ttU oml
Ehsoi A Bndtey TsL MgL Jny. Ud
PA Box 79 St Nefw, Jersey. 053473933

EAI-C-T [1320 344 J| j -

Die Eng&sh Association
4 Fore Street, EC2
EA InoomeR t*.

ob Jan.^^

Eurobond Hofafings N-V.

pietermaai 1^ Wnimad Curacao.

. (AnoxnJ

DO. wxunj —

J.F Pic. Secs. llnE3|

h't&Fjz

Ob. (Accum)

jJ o&BilSc

SZtEksm

AcuaBL
LOndM AflOrtF WLFtetag

ass

062423914 Woridutee

Worid Wide Growth M— — wt >

10a Daf ei w i l teed Lauemfaoug

' ft

Wn fo**— M* « a tfm. Im9v I mV« London

Wren Commodity M w igawt Ud

UkSLCeogttSLOO— iMT 06*25015

Bs!B^ «=!«

(WhscMti isnt —nagnwi t (AL)

PA BtSg ». JgfiaoCI. emnoey. MS12H31

g£A— M Fdt— H "

iBa'

Tel: QL2S2000

Nf

Dutch

FTeudiFiws-

NOTES

mm are in penes tales oUwnsl u imSeated.

VMfe % tstamm In laa c—m) atos fu ail buying

rmi^warap ss

4 Btinoted g Toe^t opening price,
h Dbtribtetai hen al UK Bues. p Periarie
prwnhxn Inmran ptam. s Sbgb laaiiu.i
Hu u an e n . x Ottered price Includes afl omenses
atapt agent's CftnuiMii.y O ffe red p rice rid—
aJ egweies V bomht Dirtapi noragertZ Preriota
titft price. 9 Gumey groo. « Stsantied
4 VfcB hefcxe Jersey ex. t Bt-wtxlvtalan.
U On(r m*mt » dm—ie bade*.

>

$ & £ firm

THE POUND SPOT AND FORWARD

Jan 5

Clos*

One month

%. ...Thrao
P -A - 'months

Hollar rose against other
major currencies' yesterday on
higher Eurodollar interest rates.
Hie upward trend in Eurodollar
and UJ5. money market interest
rates followed the larger than
expected rise in the weekly
money supply figures. Comments
by Dr Henry Kaufman, of
Salomon Brothers, about firmer
tLS. rates this year also lent
support to the dollar.- ■
Sterling was generally firm,
despite easing against the strong
dollar. Reaction was favourable
to the provisional money supply
figures released in the afternoon.

European currencies showed
little change, with the French
franc at (he top of the European
Monetary System, and ™ e
Belgian- franc remaining the
weakest member. . ^ ^

DOLLAR — Trade- weighted
Index (aBnk of England) 107.2
against 106.4 on Monday and

110.6 six months ago. Three-

month Treasury bilk 1L50 per
cent (11.34 per cent six months
ago). Annual inflation rate 9-6
per cent (10.2 per cent previous
mouth). Unemployment 8.4 per
cent (8.0 per cent previous
month). — The dollar rose to
DM 2.2610 from DM 2-24 10
against the D-mark; to FFr 5.7375
from FFr 5.6850 against the
French franc: to SwFr 1.8110
from SwFr 1.7910 in terms of
the Swiss franc; and to Y219-50
from Y219.00 against the
Japanese yen. , „

STERLING — Trade-weighted
index 91.4 against 91.4 at noon,

9 1.6 opening and 91.3 previons
close (93.2 six months ago).
Tb re-month interbank 15 H per
cent (13* per cent six months
ago). Annual inflation rate 12
per cent (11.7 per cent previons
month). Unemployment 1L3 per
cent (11.1 per cent previons
month) — The pound opened at
its highest level of the day. at
$19265-1.9275. and declined to
a general level of $1.92 during

the morning. Demand for the
dollar from New Yoric
sterling down to SL9115-1.9l2a in
the afternoon, and it dosed at
SI-9120-1-0130, a fall of 1.40 cents
on the day. The pound rose to
DM 4.3275 from DM 4^1 to
FFr 10 9750 from FFr 10.95; and
to SwFr 3-4650 from SwFr 3.525,
but eased to Y240 from Y422.

D-MARK — EHS member

(second weakest). Trade-
weighted Index 122-1
122.7 on Holiday and lla-7 six
months ago. Three-month Inter-
bank 20.825 per cent <12.95 per
cent six months ago). Annual
inflation 6.3 per eent (6.6 per
cent previous month). Unem-
aolvjnent 6.4 per cent (a-0 P® 1
cent precious month) — The
D-Mark recorded mixed changes
against its EMS partners at the
Frankfurt firing, gaining ground
against the French franc and
Irish Dunt, but weakening in
terms of the Belgian franc and
Dutch guilder. The dollar
to DM 2.2540 fro mDfi £2338.
without any intervention by the

Bundesbank, and sterling im-
proved to DM 4.3280 from
DM 4.3160. The Swiss franc was
unchanged at DM 1.2500.

FRENCH FRANC — EMS
member (strongest). Trade-
weighted Index 80.5 per «snt
against 81.0 on Monday and »*
six months ago. Three-month
interbank 15* per cent U'f per
cent six months ago). Annual
inflation 143 per cent (14.1 per
cent previous month). Unemploy-
ment 1.846m (1.818m previous
month)— The franc weakened
against all major currencies at
the Paris fixing, but remained
strongest member of the EMS.
The two weakest members, the
Belgian franc and D-mark rose to
FFr 14.9040 per 100 Belgian
francs from FFr 14.8650 and to
FFr 2.5360 from FFr 2.532S
respectively.

u.S-

Carjda
Nethlnd.
Belgium
Senmsik
Ireland
VJ. Gar.
Portugal
Spain
Italy
Norway
Franca
Sweden
Japan
Austria
Switt.

I. 9t1S-1 JZ75
2.2730-2-2880

4.73-4.77

73-50-73^0

14.08-14.14

1^125-I^ZW

4J1H4.34**

124-7O-1SJ0

185.75-18676

2303-2314

II. 10-H.1S
10.95-11.01
10.6O-10.6S
418-424
30.22-30.42
3.45-3.48

1J9ia0-1^13O UW»J

2^740-22760 0.17-0.07C pm
4.74-4.75 P?

73.60-73.70 25-48c dm

t TWH-ZiS oJSMJBp dk

tL32.\-4 33h 2-1 ^ pw

1S.OO-125JO 20-M5edi#

18550-188.10 HK4QC db

2304-2306 13Vl6Ulmdm.

11.11-11.12 ZV1V>™ P"»

1037-1038 paHO d ®

10,801-70-61*5 2V2 l «ort pm
419L-42D 1 * 3 ^ 0 - 2 J 0 ypOl

3D2S-3DJ3Q 15^j-10*sflm pm

3.46-3.47 SVIVcpm

the dollar spot and forward

148 0.75-0.85 pm
0.63 0.25-0-06 pm
4.42 4V-4*a pm
-§.19 90-120 dia -
3M CVApm .
—4-12 055-1. ted fe -
4^ 5V4 7 i pnT
-9.63 KM65 do -
—1.81 80-100 efia -
-7.88 44V43Mis •
2.02 5V«-pm
-055 3«r44,di» ■

2.® 7V64 pm
9.57 5-2S-8-3S pm
5.15 4333 pm
6.93 SVSVpm :
franc 80.70®LflO.

4.46

0.26

3.79
■5.70
1.85
-3.44
4.74
-6^5
-1.72
- 8.11

1.80
-1.46
-2.58

8.67

SA2

8JS

Jan 5

Day's

spread

Close

Ora month

p.s.

Three

months.

%

PA

1.9120-1.8138
1 ^685-1 S705
1.1885-1.1888
2.4760-2^790
38.49-3831

UKt 1A11S-1.9PS
Ireland) 136TO-1.6™

Canada

Nethind. 2.4710-2^790
8elsium 38^2-3S.g
Denmark 7-3420-7,3^

W. Gar. 2-ffi00-2-2SS 2^605-2,2875
Portugal 6S.3)-fiS.®

Spain Sfi- 80 - 97^5
Italy

Norway 5.79*W^1«

Franca 6.7050-5-7430

Sweden 6^370-5.6500
Japan 218.70-219.70
Austria 15.77-15A2
SwiB. 1 .7960-1 .8120

65.35-fi5.55

57.20-97.30

1204-1205

5 .5420-5-5470

219^-219^6

0A5-A2Scpm
0,85-0. 75c pro
0 . 12 - 0 . 16c dis
0.51-0 Ale pm

21 -26c <fis

0.90-0 .Kora pm
0.61-0.56pt pm
25-1 05c dts
25-35c dis
SVWdira dis

1 JB 0,75^.65 pm 1.46
5,12 2.05-1 A5 pm A97
-1.41 (L32-OJ7d« -1.16
2.71 1.77-1.67 pm -2.7B
-7.17 62-57 dis -6-70
1JS 0.10p-0.40d -(LOB
3.10 1.81-1.76 pm 3.16
-11.92 K-235dfe -3.17
-3.78 7S-95 dis -3J7

—8.96 27-29 dis -9J9

0.4O-0-2Doro pm
1 . 45 - 1 . 30 y pm

15.B0V15AH, BV4gro pm
1. 8105-1 A115 0A4A.74cpm

0.1Q-Q r 50ora dis -0.62 .05pm-^5d -O.W
0 . 95 - 1 . 15c dis -2.19 4 . 0 O- 4 ^da ~23i
0.66 1.50-IJOpm .1,01
7JZ 4JS-330 pro 7M
3J51 18-13 pm 3.87
5JZ3 2.18-2.06 pm 4.66

t UK a^TritanTara^'^d W U^. eSm Forwardptamiu^and

dcBMUim apply to the U.S. dolUr and not to the Individual currency, -

CURRENCY RATES

flank i SpeciaTTfcuropee
rata ' Drawing Currency
S I RlflhU Unit

CURRENCY MOVEMENTS

Jan. 5

Sterling— — —

US. dollar

Canadian dollar—
Austrian schilling.

Belgian franc

Danish kroner. —
Deutsche mark—.
Swiss franc — —

Guilder — -

French franc -

Ur* -

Yen-

Bonk of
England
index

Morgan
Guaranty
Chang 0 * 3 ,

91.4

—38^

■ 107.2

+0^

83.4

—16.6

11741

+ 24.8

104.7 :

+ 7.7

87.3

—10.4

12S.1 ,

+48.6

153.6

+ 104.2

114.6 |

+ 19.7 .

ao.5 |

-14.5

55.7 |

-57.4

146.2 1

+59.6

Jan. 4

Starllna ! - ' 0.605395’ 0.566857

sterun g , u - 1>I70W i ujseoi

SS^Sian dlSej 1.58846 UM
Austria SchJ 6 S* l 18^134 i 17. 14X5
Behrian F^.J 15 44.5692 | « 67W

11 8.520 5B , 7.97892 .

f«si

Guilder----' 9 2.88935 -2.68192

Frerah FT'.,.J f£2?25

Lira

Yen

Based on trade weighted changes f rom
Washington agreement Dece m ber, 1B71-
Bank ofEngland Index (base average
1375-100).

OTHER CURRENCIES

Norwgn. Kr.

Spanish PtsJ
Swedish Kr. i
Swiss Fr— J - i — —
Greek Dr'ch. 20 tg, —

19 '-i 1396.30 1306.44
51 * 266.585 23^217
9 ' 6.77960 6.32559
8 i 112.454 ! 105 A 38
11 i 6.44077 1 6.02912
6 12.09129 11 ^ 5^6

' 62.7079

EMS EUROPEAN CURRENCY UNIT RATES

Jan. 5

a

Note Rales

Belgian Franc ...
Danish Krone ...
German D-Mark
French Franc ...
Dutch Guilder ...
Irish Punt — ......

Italian Lira

ECU

central

rates

Currency
amounts
against ECU
January 5

% change
from
central
rate

% change
adjusted for
divergence

D/vsrgsncn
limit %

40.7572

7.91117

2.40969

6.17443

2.66382

0.684452

1300.67

41.6844

7.97465

2.44578

6.20413

2.68369

0.B89S30

1306.62

+Z22

-pO£0

'+1-49

+0.48

+0.75

+0.80

+0.46

+1.27

-0.16

+0.53

-0.48

-Oil

-0.16

+0.33

±1-5368

±1.6412

±1.1077

+-1^733

±1^063

±1.6688

±4.1223

Changes are for ECU. therefore positive cnange obto™
weak currency. Ad|ustmant calculated by Financial Time

Sterling/ECU rate for January 5 0.584315

Argentina

Australia Dollar^.
Brazil Cruzeiro.—
Finland Markka..
Greek Drachma..
Hong Kong Do! ta

Iran Rial- —

Ku wait Di nar (KD)
Luxembourg Fr—
Malaysia Dollar...
New Zealand Dir.
Saudi Arab. RlyaJ
Singapore Dollar.
Sth. African Rand
U.A.E. Dirham ...

*u,135-30,176t
,1.^975-1.6995
843.62 4344.62
, 8.316-8.531 ,
1108^14-11 1.626)
10.90-10.92
151.75*
0.537-0 A43
73.60-73.70
.3040-4.3140
.3200-2.5240
6.52-6.58
JA2 50-3.9350
1.82B&-1.8315
7.01-7.07

10.500-10,550+j

0^860-0-OT68j

127.16-127.80

4.3535-4^555

57.60-57.70-

5.6875-5.6926

78.60*

0 AS13-0 J2816
38.49-38.51
2.2460-22480
1.2115- 1A 125
5.4195-3.42 15
2.0485-2.0605
0.95B5-O9S75
3.6710-3.6730

Austria

Belgium

Denmark

Franca.

Gormnny~

Italy

Japan

Netherlands...-
Norway.

Portugal M . —

Spain

5 w«den-_.

Switzerland ....
United States.-

YugMlavi^^^

! 30.1530.45
I 80.15-82.15
14.08-1490
1093 1192
I 4.30M»-434la
231041370
; 422-427

1 4.7214-4.7614
. 11.07-11.17
124337
185-1945*
10.58-10.68
3. 44*8-3.48 la
1.61-193
90-96

t Now one rate, * SeHing rate.

EXCHANGE CROSS RATES

iPoundSterHng

Jan. 5

Pound Sterling
U.S. Dollar

Deutschemark
Japanese Yen 1,000

French Franc 10
Swiss Franc

Dutch Guilder
Italian Urs. 1,000- -

an ad lan Dollar

Belgtei^ran^lO^

1

0.523

0931

2.381

0.911

0.289

0.211

-0.434

0.440

1.558

1913

1.

4.328

2963

0.442

4.664

1.

10.30

420.0

219.6

1.743

0.552

3.943

1949

0.405

0.830

0.912

1.877

0.841

2.597

1903

5.876

97.05

1080.

382.7

1219

88.51

1829

184.7

570.3

PrSnofvBSnorswSrSuno

10975

6.739

2.936

26.15

10 .

3.167

2.313

4.761

4.82S

14.90

3.465

1.812

0.801

8.250

3.167

1.

0.750

1.503

1.523

4.705

EuteJ^u^3 ,

4.745

2.481

BtSEBai

2305.

1205.

CariadlaDdlarjBalgian Frans

1.096

2190

4.325

1.369

1.

2.069

2.088

6.443

632.6

5488.

2100 .

8659

485.8

1800.

1013.

3130.

2975

1.189

0.626

6.415

2972

0,656

H479

0.987

X,

3.088

73.65

38.51

17.02

176.4

67.11

2196

15.62

3195

32.38

100 .

Jan. 5

Sterling

U-S. Dollar

Canadian

Dollar

Dutch Guilder

Swiss Franc

West Gorman
Mark

French Franc

Italian Lira

Belgian Franc
Convertible

Shortterm

7 days' notice .

Month . —

Three months....

Six months

One Year

155g-157s
147a-15 tg
163ft -151s
ISA-lBfe
15-i-157 a

151? 153,

13 la- 13Je

13 VlUt
1314-1313

14i0-147 8

1450.1470

10-12

10-12

1478-151,

15-153«

15- 163#

16- 1638

10-101,
101, 10it
1O50-1OU
lOaft-lOfi

10 S-IOH

103,-lOft

6V7
4U-43,
8^8H .
870.9

87b-9

lOfe-lOit
1038- 10^
10 A- 10 A

lOde-loig

15-151*

15-161*

164-1558

16i«-17

177 B .183ft

18fe.l8fie

17-19

lSaa-SlS,

21l3-22Bg

231,-24

24lft-24*,

2378-240,

14- 18

15- 20
19l2-21ift
20V2112
193,-2012

17 lp-19

FT LONDON INTERBANK FIXING {1 1 .00 a.m. JANUARY 5)

3 months U.S. dollars

bid 13 11/16 I offer 13 13,18

6 months U9. dollars

bid 14 line : offer 141 5/IB

The fixing rates are the arithmetic meant, rounded to the nearest ope-ebtaantb,
of the bid and offered rates for 310m quoted by the market to five reference banks
at 11 am each working day. Ilia banka are National Westminster Bank. Bank of
Tokyo. Deutsche Bank. Banque Nationals do Paris and Morgan -Guaranty Trust.

EURO-CURRENCY INTEREST RATES (Market dosing Rates)

Uapanesa Yen

5-5.U

ISIS

6I 4 -6Tb

SDR linked deposits: one month per cent; three months 12*n-12H per cent; six months 1SW3S per cent; one year 13^-13^ per-cent.

ECU linked deposits: one-month 14-14*» per cenc three months 14^- 1 4^ P«r cent: six months 14V15 per oent: one year 14VW* per cent-
Asien S (dosing rates in Singapore): one month ISV-IS 1 ! per cent; three months 13^-13^ per .cent six months per cent: one year 14%-14 T » per

cent. Long-ierm Eurodollar two years 13-1A per cent; three years 15V 15^ par cant; four years 15V IS 1 * per cent: five years 15V15V per cent nomine!
closing rates. _

The following nominel rates were quoted for London doHar certlfioatss of jfeposit; one-month 13^0-13.50 per cent: three months- 13.80-13.90 per cent; six
months 14.45-14.55 per cent; one yeer 14.45-14.55.

MONEY MARKETS

Revised shortage

GOLD

London clearing bank base
lending rates 14J per cent
(sinee December 4) '

A shortage of day to day funds
was forecast by the Back of
England in the London money
market yesterday but the amount
was adjusted upwards twice
during the day. The Bank gave
an early figure of — flOOm, with
bills maturing in official hands
and a net take up of Treasury
bills accounting for £150m and
Exchequer transactions a further
£100m. These were offset by a
fall in the note circulation of
£75 m. The shortage was later
revised to £150ra and the authori-
ties gave assistance in the morn-
ing totalling £171m. This com-
prised purchases of £7m of
Treasury bills in band 1 (up to
14 days) at 14 J per cent, £l3m of
local authority bills at 14} per
cent and £50m of eligible bank
bills at 14$ per cent. In band 2
(15-33 days) it bought £lQlm oE
eligible bank bills at 14J-14I per
cent

The revised shortage of £150m
was further amended, without
Uking into account the morn-
ing’s help, to £250ra and the
Bank gave further help in the
afternoon, making purchases of

MONEY RATES

NEW YORK

Prime rate ip,

Fad. funds 13V13>,

Treasury bills (13-weak) ... n.ao
Treasury bills (26-week) ... 12^8

GERMANY

Special Lombard 10.50

Overnight rare 10.50

One month 10.825

Three months 10.57 1 *

Six months WM

PRANCE

Intervention rate 14.75

Overnight rate 15.375

One month 15.0625

Three months 15.0625

Six months 16^5

JAPAN

Discount rate 59

Call (unconditional) 6.5G25

Bill discount .(three-month) 5.562S

£90m to give a grand total of
£261 m. The afternoon help
comprised purchases of £3m of
eligible bank bills in band 1 at
142 per cent, £67m of eligible
bank bills in band 2 at 143-14&
per cent and £20m of Treasury
bills in band 4 (64-91 days) at
14$ per cent

Dicsount houses were paying
up to Hi per cent for secured
call loans with later balances
taken down to 10 per cent In
the interbank market overnight
money opened at 14J-15 per cent
and eased to 14f-14? per cent.
After the bank’s initial help
rates slipped to 34-14i per cent
but came back briefly on the
revised forecast to 14$-14f per
cent before falling away to S-10
per cent. Late balances were
taken up to 14 per cent Period
rates tended to ease slightly
reflecting a favourable reaction
to t be latest set of UK banking
figures.

in Brussels the Belgian
National Bank announced a
further cut in sh on- term Trea-
sury bill rates following a
similar move on Monday. The
rates yesterday on one, two and
three-month Treasury bills were
all cut by half a percentage point
to 15J per cent, 15i per cent and

LONDON MONEY RATES

Firmer

trend

Gold rose $10 to $405-406 in
the London bullion market
yesterday. It opened at '$400$-
$4014, and was fixed at 8400.75 in
the morning and $40350 in the
afternoon. The metal touched a
low point of $400-401, and a peak
of $4064-4074.

In Paris the 124 kilo gold bar

was fixed at FFr 74^00 per kilo
($404.89 per ounce) in the after-
noon, compared with FFr 74,500
($405.75), in the morning, and
FFr 73,500 ($404.00) Monday
afternoon.

In Frankfurt the 124 kilo bar
was fixed at DM 1 29,210 per kilo
($403.00 per ounce), against
DM 28^900. ($400.99) previously,
and closed at $403,404, compared
with $3944-3954.

-In Luxembourg the 121 kilo
bar was fixed at the equivalent
of $400.50 per ounce, compared
with $399.90.

En Zurich gold . finished at
$402,405. against $394^97,’ ■

Jan. 5

Jan. 4

Close

Opening

Morning fixing _
Afternoon fixing

Krugerrands

J/2 Krugerrand...
•I* Krugerrand...
>/10 Krugerrand

MapleleaL.

New Sovereigns.

§3fs,^

S 20 Eagles

Gold Bullion (fine ounce!

*406406 (£211 4-81 lSj} f 9395-396

84O0is-401 la (£208-2 O 8 I 1 ) )*3g9lft40Qla

8400.76 (£208.737) feflS

S403.60 (£210.408) ‘5395

Gold Coins

(£15-418 . {821654-21714) S407la-4O8la

5214-216 (£11154-11214) *2091*^10^

9109-110 (£57-67 is! - 81065,-10734

W4V431S (£2314-2334) g43i«-441ft

341M17 (£21714-2173*) 9008 ^^ 9 ^

89834-991* . t£511ft-513*) 897-97^

8U6-116 (£60*01*) 9113-114

3116-116 . ’ (£60-601*) 6113-114

997-107 (£SOV36) . « 96-106

8497-500 . (£259 1ft -2611*) 5488-4S2

*391-394 (£20414-20594) *384-367

*510-519 ; (£86612-269) *308-513 -

(£205-2051*)
(£207-207 if)
(£206.148) '
(£204.716)

(£a 1154-21311)
(£108V-10S 1<)
(£55ls-56) r
(£22i S -23) -
(£212i«-21284)
(CSOift-SOty
(£5813-59) v .
(£58 Is -59) ~

-»*>

,(£199la-201)
(£264-266 1ft).

Per , cent -respe(9iveiy. : : Wthe Belgian authorities. kaw

interest rates have f all e n in ■ so far been able to reduce domes*
several European countries tic rates without patting pressure
recently fallowing a softer on the Belgian franc within - the
tendency in UB. interest rates, European hfonetary System, '

; sterling

Jan. 5 certificate

1882 ) of deposit

Interbank

LOAftl

Authority

rieposit*

Local Auth.
negotiable
bands

Rnanca

House

Deposits

Company

Deposits

Disco unt
Market
Deposits

Treasury
Bills «

- Bank

- Bills 4

Overnight, 1 —

2 days notice-] —

7 days or —

7 days notica...l —

One month. .1 lfise-iSi,

Two months 1 15it-l5ia

Three morrtft&J 15A-15*

‘Six months ifisa-lfiis

Nine months-.. lSA-l&rt

One year _I I5 i*-15Sb

Two years > —

8-15

1434-1618
15* .16fe
15*154*
1»A-16{*

1 5ft. 15 7 b
lSA-iasi
15JB-15S8

148ft-1468
1+3, .14T a

MJa-ieift

161,

16lft

151ft

life

153.

iese-16

16i,-15Tb

1618-163,

15fe-15i«

lB7ft-lBfe

IBfe-lBl,

life

151ft-

15fe

16fe .

' isos'

15 lft

l4is-145f

15-161,

lOfe.15^

16Bfl-157 B

15tf-16

IO- 141 ,

14fe44fe
14fe
14fe -

Mfe. :

■ffir

TVad*

Bfifs*

. SB*

:-.ns

Locel authorities and finance houses seven , ■ . • _ - . - • . . . - . ' T

rws nomiiteMy three years 15*t per cent+ four vuA . U»«Brfemi fecM aotiisiity nxxtgBS*

are buying retag for prime paper. Buying rBtes y * a 7 1 ^ IT par ® bOl rete* 1h faW*

15i, per eont _ r 7 13 nms tpur-moiuh bank brife 14^-14?, per omi .four mdotfcr.- t red* hWa

AproximMo eeHing raw (or one month Trassii™ s f ‘ '

months 14«» per canL AproxitT»tB aellmg rare per cantr, three

esnt end three months U“»-14*V Per test per CMC- two moodte lJVI^ . ?*<

months IS*, per ceirt. U 0M tnon ° l tradB bW * ^ per «nc two months IS, per -owe; three

dJ 1 " - fra ™ Jwwaiy X • «

cenL Treasury Bills: Average tender rare, ^ br taitoj Wz per

-. 1 -.

. i

*'

, ’*3 * -«

~ri

1 S 7 :« : »

- »7 -../it-. •

J,§

-44s;-.

-t t r ;4i : |v

' 3 f

-=3 5s?

-s.*

4 :s=^-
31 $S?g^

- :a^>/

,ENCV RAT5

aa-1/' 7. *>

'V' *s*i

- - _ *5r* 1

'- :s

3 { •. ::-Hi5 •:

.. i* ‘ *.:-; ; Si >

‘‘: ;f£?

•j. 2; ■:

sr- * ’p-

= »■. " -“•

J'^a, ; ;••■?

•■*• ;i . . X

-2-—- - - -a

■■'.‘.".■."..T'.'-rs*

How a coal trader became the fastest-growing UK company

happening, in liairtiities were greater ton its
ShrfBeld. ^ In ,nbe heart o 1 one • assets. First, he said, the books
of Britain s recession-hit. waste- were - straightened out.' and then
jj ■ ’• * ®d®h-Conipany has been the main business attacked.

adding on- sales and; profits with' Founded by two ' bikers in
the speed of the wind., ' ••' 1921; B and H had long been
Over-toecomtog Fear, the - delivering coal doorib-door in
-small cpWMUjy will have all .but ,the North. But by the early
-disappeared and in its place' 1970s 1 the group was conoentrat-
~'Wiir.’bg a* .international coal tog on three areisi oil storage
• .’trader, producer. and distributor and distributibnjjciva engineer-
; with^sales of ■ f I25nra year and tog and building ; and- opemcast
•a.sufetaiitial-bank of coal 1 re- mining.

yserves, around the world.

* Britain's .'newest ' entrant - to

- “ After formal examination of
our assets and -activities, it was

■*v» DKCUi UN-MUOlUBSi H W«

decided that -we were good at
-ig.Bprnettara Hallamshixe, for di^g holes in the ground."
.some tune the fastest-growing said Mr Helsby, - Construction
^pany -in ihe.country. The art 3 wiics.vfere consolidated and
: begnraings - .of the group's dray- B and H's sUbsitfiary, Northern

ring growth rate coincides- with . strip Mtoh
;;the promotion of Mr George .^c groua
Helsby to finance director in nncrattons:
- Iff74. .- A! short energetic man '•

who. 'shuns'- vegetables. Mr NSMnev

Strip Mining, began expanding
-the grog's. open-cast coal

NSM developed a H nose " for

Helsby helped B-\ & ' H ' kick sniffing; bat ■ the small pockets
-through - the crusty layers - of of,coal reserves which had been
imore ;.ftau five decades of left behind- by the National Coal
• faTnUy -stytg manap^Tn^ Ttt . • Boitd':ar too sm a ll to exploit

- Ka . ncitc when the industry was nationa-

: -The.resqjts.^re remarkable, jiged.- Successful to obtaining

licences for these pockets,
.■managing direct or-m. 1976, the » w cwtftJv h«ynnp rhp

*€!7fS hdS'«»*«c£ SmSTsCB

open-cast mining to the UK.
se ™ “ H coo^mies ic hold that
Srfnd™SS! Ta 2 vSr c3 tifle, supplying some 2m tonnes
!ha« licr^ “ a S M

tSwK ■ toshly sensitive nature of coal
E™*? 1 ?.. through - Tuni ng in Brifarn, B & H is

acquisition, much, of it mvolv- . ^ T. ,

injure swaps- rather tte. ^

Hu* pamtno«s nor chapp '.Rhis- market much further.

'have yet to suffer, (see chart).

Be turn on. capital employed has «

Tanged between 25 and 32 per, ****** ! o ihe . ^m»Ps togfaly

imore - i-fban five- decades
family-style management.

ranged between 25 and 32 per

cent in the last five years, but' P rofessional oPBratdon.

without missing a Iwat .

company

WONS

Extel are marketing agents in
Western Europe including the
United Kingdona for all the printed
services of Standard &JPopr’s
Goipdration. .

Standard & Poor’s is theleading ’
publisher of business, financial and
marke ting publications' and services
ip the Unitdd States. It provides, ;
mformation in the form of printed ■
publications and bond-ia t ings.

^ i ( H

r /«l» i aft®] 111 •ttll]

Information

Extel

By Carla Rapoport

Earnings

Turnover

1376 T7 78 ’79 Ufl Tfl *82 K

ties of the group.

"Around that time, we
realised that our growth' an this
country was limited,” said Mr
Helsby, as coal remained regu-
lated and construction activity
was slowing down. Mincorp also
contained a small stake in Rand
London, a South African deep-
mining group with a London and
Johannesburg listing, as weffl as
a few other overseas interests.
Mr Helsby's appetite was
whetted.

The end-result has been a
rapid-fire acquisition strategy
which had taken B & H into

Pre-Tax
Profits ^

1976 ’77 ’78 T9 ’80 ’81 '82 ,w "‘

Return on.

1 Capital j " 10v

1976 V7 78 '79 ‘80 'B1

the Philippines! Colombia. Chile
and both the west and east coast
of the U.S. In many cases, the
dead was clinched with a defer-
red payment scheme in which
the vendor received future pro-
fits of his group provided they
reached a certain level. B & H
also successfully used its shares
in several deoils.

The most ambitious man-
oeuvre to dale has been last
year’s ■acquisition of 51 per cent
of Rand London through two
former shell companies, one
registered in the Netherlands,
called Anglo-International] Min-

Phris Walker

tog, and another registered m
London called Brine Invest-
ments. previously known as Hall
Brothers Steamship Company.

The boards, as well as the
share registers, of Brine. Rand
London and Anglo contain some
of -the same names. Mr Alan
Ferguson, who appears on all
three, owns about 25 per cent of
Anglo and more than 50 per
cent -of Brint. Mr Jeremy
Pinckney, one of the founders
of Rand about five years ago, is
also on all three boards.

Sometime before the dea<],
B &.■ H hod sold its nririna 1 ! stake

in Rand — M because we weren’t
ready then," said Mr Helsby.
The stage was reset as follows:

Mr' Ferguson, a short-lived
director of B &'H who was a
shareholder in Mincorp. became
a prime investor to Anglo,
building-up the largest stake o£
some 25 per cent of the shares.
Last January, Anglo acquired
22.3 per cent «f Rand-

In. ths same month. Brint
bought 2S.7 per cent of Rand in
a primarily paper deal with
nearly 60 per cent of the shares
coming from Temple Invest-
ment. Mr Ferguson's Guernsey-
ba>ed investment company. In
April. B i H bought 23.2 per
cent °f Brint and Mr Helsby
joined the Brint board.

B & H made its move in
October, offering its share for
the entire share capital of Anglo,
on The condition that Anglo
should first pick up Brim’s stake
in Rand and thus hold 51 per
cent of Rand. All the;se deals
have since been approved. The
•transaction, which valued Anglo
at £29m. turned Mr Ferguson's
slake in the unlisted Anglo into
more than £5m worrh of B & H’s
highly marketable shares: his 50
per cent stake in Brint provid-
ing another £5m worth of B & H
shares.

Mr Helsby states that Mr Fer-
guson has *• gone his own way ”
since leaving the B & H board in
early 19S0 and has no say in the
running of the company.

Mr Helsby's eyes fairly Light
up when Rand is mentioned. In

addition to some 640m tonnes of
coal reserves, the group deep-
mines high quality coking coal
and anthracite for the domestic
South African market and for
export The group expects to.
win higher export allocations
this year and increased produc-
tion expected in the next few
years should fuel this growth.
The group also has andulusite
deposit and some gold and
diamond interests.

Mr Helsby claimed he was
looking forward to total group
coal production of 6m tonnes
within three yeah: and perhaps
8m tonnes In five years. His re-
cent UK acquisition. Rexes,
brings coal-refining expertise to
the group, which he said might
be applied to the low-quality
coal expected from .the Philip-
pines project

Anglo and Rand had already
begun working on a bulk
handling facilities in Ghent
which when completed next
year will be able to load 1,000
tonnes an hour from medium-
sized bulk cargo vessels. -

“ Small potatoes, really,” said
Mr Helsby when describing
these international link-ups.
“ The majors are so much bigger
and have access to much more
resources than us.” But in addi-
tion to nearly 1 bn tonnes of coal
reserves, B & H will - have an
integrated coal business that
mines it. buys it. moves it and
sells it under one name. Such
a tempting morsel might catch
the eye of an oil major to the

future. “If we get the right
offer, then it might happen. I
haven't had one approach yet,”

Meanwhile, coal is only part
of the B & H rocket. The com-
pany claims to be the largest
distributor of middle distillates
in the UK, and works under con-
tract with Total, Phillips and
Gulf. It also retails petrol at
franchised petrol stations under
the brand name of UK in
Lincolnshire. On the property
side, Mr Helsby discovered
California a few years ago and
has sunk several million dollars
into a few Los Angeles deals to
partnership .with a local
developer. - *

The pace at the small
Victorian headquarters in the
centre of Sheffield of B & H is
understandably frantic. _ Mr
Helsby claims to need little
sleep and is known to greet his
staff with the question: “Have
we bought anything this morn-
ing ? w

As to his Own stake in the
company, he sold nearly 16,000
shares last yqar in readiness for
a new share option scheme. “It
just so happens." he said cheer-
fully. that the middle-market
price for the scheme was deter-
mined in the week after Black
Monday. As a result of this
. happy timing, some 40 execu-
tives are now eligible for share
purchases during the life of the
scheme at a price of 757p.
B & H shares now stand at 920p.
It seems only fair that the archi-
tect of this rorapany should
share in its wealth.

in tMs lucrative market is
attributed to 4he group's trighiy

the -company, has ntrt been rely- w j j-

ing: on 'its' bankers.' it took out .* fjrOOu. TBCOrCl
•its first major loan only -a few . *

■jnohths ago. — . - • “ There’s no doubt others are

“Christmas? Cancel Christ- . "miffed that B & H maintains
-mas' I don’t have line for it" - such a good share of this busi-
- isMd Mr Halsby'. as he hopped ness: ” said Mr Malcolm Brown,

' -into hifr . powdea^blue Rolls- a security analyst at James
Ttoyce. He’s a joker, but there’s ' Capei. .“ But B & H has a very
ajirint of steel behind the smile. : good record of delivering coal
'Mx'Hel&iy iS arriever man who and keeps up a high s tandar d
has . pieced - together his coal- - in mining technology.”

-empire with careful precision. - ' Open-easi mining, unlike the
•In the. past year alone, the - underground business, is sur-
» group has allocated neaxlyr£20ra pristogfr profitable.. According
2 m ‘oasfi and another £40m to, to NCB figures, - open-cast;opera-
: •’etjOHy fpr si string of acqmsi- tiohs in the UK showed average
Helsby can red off profits of ^8.43 a tonne wtoffle

Lloyds Bank

*gr«ip hasaJIoa«ed nearly^£20m - pristogfr profitable. According
2 m ‘cash and another £4ftn in, to NCB figures, - Qpen-cast;opera-
-ematy fpr si string of acqmsi- tions in" the UK: showed average
felons— Mr Helsby can reel off .profits of ^8.43 a tonne whffle
‘ithe details - of each purchase ' . umterground.^ctivit^

a fresh ap

hto

2. ■ witiKHtt missing a beat'-^-- - . • -.a :£1.27 loss a -tonne and-.hawe

. 7T ■ ' not produced profitable figures

---4 Family company j££J54w te

^ - . - But can the matL Wlm'; trans- ’

~ . . . ■ ^fomied toe' sle^jy fmtoly.cpnK-

■ r pany wnto 266 employees toto < ^i f j y^ e T stahtostng

1 1 ■ " -basi^

ness with: a stpff of 4;500 also toe'MdlMxb «d it lusi so iap-
Iceep the larger company oh : P^ned titatt vm had to extract lm
— icourse? - Can sn opencast mtoer tpto^of coj to do toe jtfb

based in Sheffiead. handle a property, add Mr HeWby. T be
!r . „ ^* 2 * ’bilge deep-nHntog operation to- groups various actiy^

rrott isouth Africa? ' oyeriap — for examoJe. one

“ • Taiflr#- - «F fhe ’ answer •*»' those unit has-a contract to dump coal

,n ; Part ^ dust and stodge some- 10 miles 1

outtosea. Another unit further

-- MrHelsby^rrived afB andH’s

small headquarters in Sheffield. ^

s ei^t veazs- aieo •• A Lancashire often can extract .mtoeyate . usfr '

rr-.-^Z ■ .

..... -’accountant and" had. previous - In. 1979 , the group bought

- \7 : '! experience with Staveley Indus- Mtocorp, an unquoted coafl. mrn-

:'i > tries arid Union Carbide. ■ 1 • iufi group, -\dmch broadened toe

i - At that poto* the company’s mmtoe and construction activt-

te

Mm

liiiiiil

are integrated as a commerrisa^^^&^^|
anri - meirhant bankmtemationally:^^^ ^^§

Itis this that makiES us different.

"What’s more^ no bankis backedby astronger
capMstructuia

In an unsettled world we know there are business
lists as -weE as opportunities. Our skill lies in
combining realistic advice on complex financial -
problems with the resources to implement
practical solutions.

We are as reliable m hanclling- trade finance as
when assemblingfinance for thebiggest of
multinational projects. We are as much at home
in our domestic markets overseas as in the
international c a pital and money markets. . '

We operate in depth across five continents and

jiiiPiiiiii

j conduct business in over
a hundred countries. Yet

^..^,-■1 Trzyajfe^ 1 ' OUr Ina l ia S eIIiei:it: rsmains a

professionals; and we are -
structured expressly to enable
them to communicate-fi-eely across
the globe and to our top decisionmakers.

It’s because we are mtegrated that whereveryou
deal with us-

• Youlockinto ageographicnetworkand
range of services matrhingfhebest

• You tap a fund of expertise and

■ reserve of knowledge second to none

• You secure the feist and sure response
that gives you the edge

A fresh approach to international banking

LloydsBank

Financial Times Wednesday January 5 1982

Companies and Markets

WORLD STOCK MARKETS

■■M

•V‘j

*•'* '

NEW YORK

Stock

AOF Industries ...

AMF„ -

AM InU

AHA .....

ASA. .....

AVXGOrp-

Abbott Labs

Acme Glove....,..,
Adobe Oil & G as.
Advanced Micro.
Aetna Life A Gas)
Ah man son (H.F.)[

Air Prod A Chem

Afczona ... — ..

Albany Int.

AJberto-Cuiv —
Albertson's .......

Alcan Aluminium
Aloa Standard....

Alexander A Al.. v
A/egheny Inti-.,..

Allied Corp -

Allied Stores.

Allls-Chaimers..-
Alpha Portd

Jan.

4-

40t b
871S
4la
26
44 Ab
1366
27

at

31

*1778

442a

146*

37*

ID*

267s

1212

25*

2318

197s

25la

33la

461b

2STs

167 B

117b

Dec.

32

407 B

27#*

41b

267g

43i*

15*
27
21 lg
2950
176a
44
ISIg
376 b
loaa
27ia
1268
seii
83
19*

861b

33*
44
86 lg
15Tg
12

Alcoa. —

A mei. Sugar-

Amax -

Amerada Hess...
Am. Airlines —
Am. Brands— —
Am. Broadcast'g

Am. Gan

Am. Cyan amid
Am. Elect. Powr.]

Am. Express

Am. Gen. Insnce.
Am. Hoist &Dk...
Am. Home Prod..
Am. Heap. Suopyf
Am. Medical Inti.
Ant. Motors....
Am. Net. Reaces.

Am.Petfina-

Am. Quasar Pet_

86

485*

48*

24*

107a

363*

34*

35*

263*

16*

44*

41*

16*

36*

39

26*

8*

37

56*

131*

26*
46*
47*
24*
11 -
36*
34
34*
29
16*
44*
41*
16*
36*
38*
26
2*
42
65*
13*

jn. standard
tm. stores—.. —
km Tel. & Tel-...
jnetek Inc— .....

tmfac —

kMP....-

itnstar ..... — —
kmstead Inds—
knchor Hacks —

inheuser-Bh

iroato. -

kraher Daniels...
krmoo ...

30*

29*

58*

33*

26*

GO*

267a

34*

17*

41*

36*

187 S

27*

293*

29*

687b

33*

26*

607 b

257 S

35*

17*

41*

36

19*

28

nstrong CK.~.
imara Oil.

Han d*bil
d D Goods.—
IT tic Rlcft. —
a- Data Pra-
to.

try inti — —

165*

115*

26*

31*

243*

46*

257 8

21

27*

165*

11 *

26

31*

24*

46*

25*

20 *

27*

Dentsply Inti. —
Detroit Edison...
Diamond Inti —
Diamond Shank— {

DIGlorgio

Digital Equip

Dillingham

Dillon —

Disney (Walt)

Dome Mines.

Donnelly (RR)..—

Dover Corp

Dow Chemical....
Dow Jones..— ,

Dresser—

Dr. Pepper-.. _
Duke Power...
Dun & Brad — ,

Du Pont.

EG & G—

Avnet —

Avon Prods-

Baker Inti

Bolt. Gas & El-..

Ban cal Trist

Bangor Punts. ...
Bank America —

Bank of N.Y.

Bankers TstN.Y.

Barry Wright

Bausch A Lamb.
BaxtTtav Lab....
Beatrice Foods..
Beckman Inetr..

Beker Inds

Bell & Howell

Bell Industries ..

Bendlx

Beneficial

45*

30

58*

23*

26*

19*

21 *

43*

33*

18

617 fi

34*

17Tb

467a

B*

21 *

161b

58*

197b

46*

30

58

23*

25*

187b
21*
42 Tb
337a
IB*
62T S
33*
18*
46
8*
19
167a
583*
20 *

Beth Steel

Big Thee Inds — .
Black A Decker-

Block HR 1

Blue Bell

Boeing

Boise Cascade

Borden—

Borg Warner

Braniff InU. !

Briggs Strain —
Bristol-Myers.

BP ....

Brockway Glass-
Brown Forman B|

Brown Grp

Brown A Sharp...
Brawng Ferris—
Brunswick — [

23*

27*

156a

37*

25*

23*

343*

28*

263 4

2*

24*

62*

23*

143*

35*

283*

183*

32*

18*

S3*

28*

lfi*

37*

25*

22 *

34*

28

26*

2*

23*

53*

233*

14*

36*

2B*

18*

321b

18*

Bucyrus-Erle —
Burlington Ind ..
Burlington Nrthn

Burndy

Burroughs..— i

CBI Inds - I

CBS- — 1

CPC IntL

Gsx.

Campbell Red iJ
Campbell Soup—

Campbell Tagg -I
’ ~ idoiph-i

Canal Randoip
Can, Pacific .
Carlisle Corp— ~

Carnation

Carp Tech...—,..

16*

84*

53*

19*

34*

42

47*

35

59*

15*

St

U"

29*

286e

45*

16*

24*

535s

19*

34

42*

47*

35*

58

145*

285a

207b

28

35*

28*

29

46*

Carter Hawley—

Caterpillar

Celanese Corp—

Centex —

Central * Sw —

Central Soya,. 1

Central Tel Util.-

Certaln-teed

Cessna Aircraft.
Champ Horn a Bid

Champ Int

Champ SpPlug J

Charter Co

Chase Man hatfn

Chemical NY.

■ Cheese Pond

Chicago Pneum

Chrysler.

Chubb

15
54*
65*
24*
14*
12*
33
11*
217a
2*
19 Tg

2 7b

8*

537a

54*

337a

19*

3*

46

15
65*
5G7 fl
26*
137 8
12
33 lg
11*
213*
8*
19*

I 6 ®

8*

53*

54*

335*

19

3*

46

ndnnaU Mil —

Hoorp-

ties Service —
ty Invest—

ark Equip merrti

ave Cliffs iroruj

iro x

uett Peaby

cal Go la-.

ilgate Palm

illlns Alkman._
ilt Inds.

26*
25*
49*
22 7 a
27*
30*
111 *
15*
34*
163,
11*
96*

25*

25*

46

223 4

27

303*

11*

15

34*

163,

11

66

Stock

Columbia Gas —

ColumbiaPict—
Combined Hit—
Combo stn. Eng...
Gmwith. Edison-]
Comm.Sataltte

Jan.

4

32*

44*

23*

36*

20*

621b

Dee.

31

32*

44*

24

*6*

19*

63*

comp Science—

Cone Mills

Conn Gen. Inn.—

Conroe —

Cons Edison —

Cons Foods

Cons Freight —

Con* Nat Gas
CgnsumerPoweri

ContAir linen—

Conti carp.

Conti Group 1

Cont (fironls— I
Conti Telep....
Control Data—

15*

30*

49*

27*

32*

31*

40*

50*

17*

4*

26*

33*

34*

17

36*

13*

307 S

50

27*

32*

31*

39*

50*

17*

4*

32 7b
33*
16Tb
35*

Cooper Inds. —
Coon Adolph —
Copperweld ...
Coming Glass
Co rroort Black—,
Cox Broadcast’s

Crane

Crocker Nat - !

Crown Cork- —

Grown Zell -

Cummins Eng.

Curtiss- Wright.--
Damon.——

Dana-

□art A Kraft

Data Gen «... >

Dayton- Hudson.. .

Deere—

Delta Air

Denny's

92*

10*

36*

92

20*

39*

36

22*

29*

287a

35*

40*

8*

28*

51*

53*

29

36

24*

20

51*

10*

36*

517a

21*

36

36

30*

30

29
35*
41*

83*

29*

50*

53*

30
35*
24*
29*

Stock

Gt AtL Pac-Tea.]
Gt Basins Pet—
GtNthn.Nakoosa
Gt. West Flnancl.)
Greyhound—

Grumman

Gulf A Western— |

4

4

361b

14*

15*

27*

16*

37b

4Jg

36*

14*

lfi*

27*

157 S

GUif Oil—

Hall (FBI-

Halliburton— —
Hammermlll Ppr|
Handlaman —
Hanna Mining-
Harcourt Brace-
Hamischfeger -j
H arris Bancp —
Harris Corp —

Harsco.— -

Hecia Mining — 1
Heinz iHJj— —
Heller irrtl

Hercules.
Horshoy-
Kcublein

Hewlett Pkd

Hilton Hotels—.:
Hitachi

34*

27*

52*

277 B

15*

30*

17*

1178

29

40*

IB*

11*

26*

19*

23*

35*

34*

39*

30*

62*

35*
897b
82*
27*
lfi
30*
18*
11 S a
28*
41*
19*
11*
86
19*
82*
36
34
59*
38
60*

17

11*

40*

25*

9*

86*

13*

21*

53*

15*

37*

327b

26*

485*

33*

12*

20r a

63

38

38*

17*

11*

40*

25*

9

863*

13*

22*

52*

15*

37*

33

26*

40*

33*

12*

20*

63

37*

39*

Easco

Eastern Airiin
Eastern Gas A FJ
Eastman Kodak-1

Eaton

Echlin Mfg |

Eckhaitf Jack...
Electronic Data-)
Elect. Memories

El Paso

Emerson Elect-
Emery Air Fgt—J

Em hart-

Engelhard Corp .(

22
6*
24
73
32*
12 $4
23*
24*
3*
245*
44
12 *
32*
24*

23

Sia

24*

71*

317 B

1Z5*

24*

3*

24Tg

45*

12*

32*

24*

Inti. Flavours —
Inti. Harvester —
Int. Income Prop.

Int. Paper.

int. Rectifier

Int. Tel A Tel. — .

Irving Bank -

James iFS)—

Jeffn-Pilot

Jewel Coe- -

Jim Waiter

Johnson Contr—
Johnson A Jns—.
Johnthan Logan.

Joy Mnf.

K. Mart- —

Kaiser Alum.

Kaiser Steel....

Enseroh— J

Emrlrotech

Esmark. .....I

Ethyl

Evans Prods.

Ex Cell O :

Exxon —I

FMC-

Faberge J

Fodders I

Federal Co

Federal-Mogul—
Fed. Nat. MorL ..
Fed. Paper Brd._
Fed. Resources...
Fad. Dap. Stores.

Fleldcrest Ml.

Firestone I

1st Bank System
1st Charter Fin.,

24t b

157 8

50*

237 B

17*

23

30*

25*

15*

4*

22*

22*

■8*

27*

17b

36*

22*

12*

34*

11*

25*

1St 8

5112

23*

17*

22*

31*

255b

15*

4*

21*

22*

8*

27

1*

36

22*

12*

34*

liTa

1st Chicago .'

1st City BankTex)
1st Ini Banc-.,

1st Interstate.—.
1st Mississippi ...
1st Nat Boston-4

1st Penn. — ....

Flsons —

Reetwood Ent.„

Flaxi-Von J

Florida Pwr A L-,

Ford Motor..

Foremost Mck—
Foster Wheeler..!
Freeport McM —

Fruehauf..

OAF

GATX

19*

33*

267b

157b

45*

3*

27 B

12*

20*

S97 B

17*

38*

15*

83*

19

a-

19*
32*
26Ta
36*
15*
46*
3*
27 b
' 12*
20*
29*
16*
‘36*
14*
■237„
18*
14*
30*.

Garnet —

Getco _|

Gen Am Invest ...

Gen Cinema.

Gen Dynamics ...
Gen Electric. —

Gen Foods

Gen Instrument!

Gen Mil*

Gen Motors- )

Gen Portland —I
Gen Pub Utilities/

Gen Signal

Gen Telep Elec.-

Gen Tire—.

Geneaoo.

557b
SO*
81*
39t b
84*
58*
31*
45
39
39 T b
47*
6*
38*
32
21*
6Tb

36*

20*

81*

36*

34*

67*

31*

44*

367g

38*

47*

6*

if*

"I-

Genuine Parts...

Georgia Pac. !

Geosource.

Gorboa prod.

Getty Oil

Glddinga Lewis..

Gillette

Global Marine...
Goodrich (BF)....
Goodyear Tire.—!

Gould

Grace— —

Grainger (WW)-

31*

20*

43*

287 S

64*

22*

34

25

22*

16*

22*

457s

37*

31*

20*

43*

28*

64*

22

33*

227a

22*

107 8

22*

45*

37*

Holiday Inns—
Holly Sugar —

Homesteke -I

Honeywell —

Hoover-

Hoover Unlv__._.

Hormol Geo.

Hospital Corp —
Household inti _ |
Houston Inds...—!
Houston Nt Gas...
Hudson Bay Mng
Hughes TooL —
Humana

29

46*

37*

71*

9*

19*

18*

36*

16*

18*

443*

207a

39*

36*

28

447 b

36*

70*

9*

29*

16*

34*

15*

18

44*

aors

40*

33

Husky (Oil)

Hutton CEF)

1C Inds —

INA Corp

IU Int--..- -|

Ideal Basic Ind...

Ideal Toy-

ICI ADR

Imp. Corp. Amer

INCO-

Ingersol Rand

Inland Steel.

Intel-

Intertake

InterNorth

IBM

9

39*

34*

44*

13*

22*

7

5*

11*

14*

67*

23*

22*

35*

31Tb

98*

87s

39*

347 fl

IS

V

3*

11*

14*

56*

23*

28*

39

31*

56*

197g

7*

8*

39*

12*

30

51*

23*

25*

377b

20

24*

365b

11*

36*

16

16

44*

19*

7*

8*

39*

18*

29*

51*

23*

23*

37*

19*

24*

37*

It*

36

16 *

15*

44*

Kaneb Services-!
Kaufman Brd...J

Kay Corp

Kellogg —

Kennametal ..

Kerr-McGee

KIdde-

Kimberley- Clark)
King's Dept St -
Knight Rdr.Nws.]

Koppers— — -

Kroehlec

Kroger- u.J

LTV

Lanier Bus. Prod
Lear-Sieglar—
Lsaseway Trans.

22*

10*

13*

22*

35*

37*

23*

65*

4*

■89*

17*

8*

25*

16*

28*

29*

26

22*

10*

14*

22*

36*

37*

33

65*

4*

30*

17*

8*

26

16*

18*

29

26*

Lenox, —.1

Levi Strauss

Levitz Fumtr

Libby Owens Fd.

-Lilly lEin

Lincoln Nat-..

Litton Inds

Lockheed

Loews

Lone Star Inds
Longs Drug StraJ
Louisiana Land
Louisiana Pac.
Lowensteln — .

LubrizoU

Lucky Stm.

MIA Com. Inc—

MCA

MacMillan ...

35*

28*

337 B

23*

55*

41*

57

46

89*

27*

28*

28*

19*

26*

23*

13*

25*

421a

16*

30

27*

*4*

23*

66

40*

66*

46*

89

87*

887a

29*

19*

26*

83*

13*

25*

41*

16*

Macy— —

Mfora Hanover
Man Vine Corp- —

Mapco ......

Marathon Oil —

Marine Mid

Marriott

Marsh MoLenn—
Marshall Field—

Martin Mtta. 1

Maryland Cup

Masco — ...

Massey-Feran— .
Mass Multi- Corp.

Mattel

May Dept Stn—

53*

36*

V»B

30*

62*

22*

35*

32*

14*

34*

35*

577b

l 7 ®

18*

10t b

243*

83

36*

14*

30*

83*

223*

357g

33

14*

36
34*

37
1*

18*

11

26

Maytag

McCulloch —

McDermott (J R)J

McDonalds—

McDonnell DougJ

McGraw EdisonJ

M&Graw-HIII — J
McLeanTrukg —

Mead !

Media Genl

Medtronic

Mellon Natl J

Mehrille

Mamorex .

Meroantife Sts— |

Merck

Meredith—

Merrill Lynch.—

29*

14*

38*

05

30*

35*

51*

7*

23*

39*

38*

36*

38

56*

85*

63

34*

29*

147s

38

6fi*

29*

36

68*

7

23

39*

38*

36*

37*

99 *
84*
63
33*

Stock

MGM -

Met ro me d ia —
Milton Bradley-
Minnesota MM —
Missouri Pao-

Mobll — ,

Modern Merchg^

Mahasco — .

Monarch M/T—

Monsanto—

Moore McCmrk.

Morgan (JP).

Motorola

Mundngwear.— .
MurphyiGQ

Nabisco Brands- 1
Naico Cham ...

8*
164
22
54*
81*
24*
9*
22*
19*
69 Tg
29
537g
57*
14*
14*
31*
30*
50*

Big

1160

22

54*

as

24*

9*

12*

19*

70*

29*

63*

57*

14*

14*

30*

31*

50*

Nat pcindustrla&l

Nao. can.

Nat. Detroit

Nat Diet. Chem
NaL Gypsum

Nat Medical Entj

NaL&emieductr

Nat Service Ind.]
Nat Standard.
Nat Steel—.
Natomas— -
CNNB I

25*

21

24*

24

21*

18

19*

85*

14*

23*

24

15*

26

21*

24

237g

21*

173g

ig*

26*

143g

23*

237s

147|

NCJL. I

Hew EngUuid'@J

NY State E A G— [

NY Times

Mewmont Mining

Nlag. Mohawk— .

NICORInc. ,

Nielsen (AC) A... J
NL Industries— [
NLT

44*

84*

15*

36*

43*

12*

33*

47*

39*

23

43*

!?*

38*

43*

12*

33*

48*

39*

82*

Norfolk A Westn
Nth. Am. Coal. -.

Nth. Am.fPhllips.

Nthn^tate Pwr.

Northgata Exp...

Northrop. — ,

Nwest Airlines..

Nweet Bancorp J

Nwest Inds....

Nwestn Mutual—

Nwestd Steel W.|

Norton-

Norton Simon

Oooidental Pet-.

Ocean Drill Exp_j

Ogden

Ogilvy A Mrtft—

Ohio Edison 1

din

Omark.

Onecfc.

61*

26*

39*

84*

4*

52*

27*

23*

70*

10*

26*

42*

19*

23Tb

28*

27

32*

12

23*

18*

28*

517a

26*

39

24*

4*

52*

27

23*

71*

10*

25*

43*

19

24

2770

26*

52*

11*

24

18*

27*

Outboard Marine!
Overseas Ship— .
Owens-Coming ..
Owens-Illinois—

PHH Group

PPGlnda.

Pabst Brewing—
Pac. Gas A Elect]
Pac. lighting.
Pac. Lumber. -

20

16U

22*

29

237s

377a

15

21

27*

24*

20

16*

22*

20*

24

37*

15*

21

27*

24*

Pao. Tel ATel— ,

Palm Beach—

Pan Am Air

Pan. Hand Pipe-.
Parker Drilling—]

ParkerHanfn

Peabody Inti—

Penn Central.

Penney (JCI— .
Pennzoil- 1

80

25*

270

36*

80*

22

67 t

41

88*

48*

1970

25*

2*

36*

21*

2270

6*

41*

28*

48

Peoples Energy-

PepsiCo

Perkin Elmer..

Petrie Stores

Petrolane

Pfizer-

Phelps Dodge —
Phi la. Elect...—..

Phlibro-

Philip Morris

Phil tips Pet

Plllabury— -

Pioneer Corp

Pltney-Bowea,

Rttston- J

Planning Res'cft.

Piessey

Polaroid ^ —

Potlatch I

Prentice Hall

Procter Gamble.!

8*

36*

27*

80*

1670

58*

33*

137s

26*

50*

39*

39*

29*

25

25*

6*

67*

20*

30

84*

80*

8

36*

26*

80S*

17

53*

33*

13*

86

48*

40*

39*

897b

25

25*

6

67*

20*

29*

84*

80*

Pub. Serv. E A G.I
Pub. 8. IndianaJ
Purex — .....

Pure I at or

Quaker Oats. —

Qua n ex

Questor .— ...

RCA I,,

Raison Purina
Ramada Inns..—.,
Rank Org. ADR—

Raytheon —

Reading Bates .
Redman Inds .— .
Reeves Bros—
Reichhoid Chem;

18*

20*

24*

36*

35*

20*

9

IB*

11*

6*

3*

36*

25

1270

48*

12

18

80*

24*

36

35*

20*

9

18*

12

6*

3*

37*

25*

1270

48*

U*

Reliance Group..!
Republic 8toeL..

Rep of Texas 1

Reich Cottrell—
Resort Inti A. —
Revco (DS)_ -

Revere Copper—!

Revlon— —

Rexnord—

Reynolds (RJ)

Reynolds Mds —
Rita Aid

Roadway Exps_.

Robbins (AH).
RoahesterGas.—

Rockwell Inti

Rohm A Haas 1

Rollins

94

84*

367,

IS

17

24*

14**

30*

25*

47*

55 1 ®

28

36*

117s

14*

32*

61

17

Rolm

Roper Corp- 1

Rowan

Royal Crown..

Royal Dutch.

Rubbermaid

Ryan Homes. —
Ryder System ..J
SFN Companies-
SPSTeohnol'gi

Sabine Corp.

Safeco

Safeway Stores..'
St Paul Cos. .....

St Regis Paper.
Santo Fe Inds —

Saul Invest —

Saxon Inds.

Sobering Plough

32*

13*

16

15*

35*

37

18Tb

29*

20

23

36

39*

26*

48*

307,

21*

7*

4*

28TB

97

24*

36*

16*

16*

24*

14*

30*

19*

471*

237,

28*

38*

12

14*

33*

61

17*

32

13*

10*

14*

347,

367a

18*

29*

20

22*

35*

39*

26*

487,

31*

21*

7*

4*

28

Steek

Sohlltz Brew J
Sohiumbcrger —

SCM-_. — | .

Scott Paper.--]
Scudder Duo vj

Saacon h

Seagram .......

Sealed Power,...

SearletGD)

Sears Roebuck-

Security Pac

Sad co..

Shell OiL

Shell Trans.—.
Sherwln-wm*-
Signal.-.—.
SIgncde. ■ —

11

B4*

22*

16*

12*

21*

57*

32*

32

IS*

40*

35*

433*

30

22

n*

10Jg

55*

217s

16*

12*

21

57*

32*

31*

18*

40*

37

44

30*

22

25*

36

fflmpflolty PatL.

Singer.

Skyline

Smith Inti.

Smith Kline..

Son esta Inti— —

Sony.

South east Ban kg
Sth. Cal. Edison..

Southern Co,

Sthn. Nat Res—
Sthn.N. Eng. Tel.

Sthn. Pacific

Stn. Railway

Southland

SWSaneaharaa..
Sparry Corp-—

Spring Wills

Scuara D.— .

Squibb...—

Std brands Palntl

10*

13*

145*

45*

67

10*

177g

17*

28*

12*

89*

43*

41*

98*

31*

30

35

25*

IS?

32*

26

10*

13Tb

147a

W a
67*
10*
17*
18*
26*
12*
33*
43*
40*
95*
31*
30*
39*
23*
287 B
32*
25*

Std Oil Cltfomia.
Std Oil Indiana-.

Std Oil Ohio -

Stanley Wka J

Stauffer Chem...
Sterling Drug—

Stevens UP).

Stokely Van X.-
Storage Tech-

Sun Co

Sunbeam——. —
Sundstrand . —

Superior Oil

Super Val Sirs...
Syntax.——..

TRW..-.

Taft

Tampax —

S'

40*

17

22*

22

167g

31*

397,

44*

27*

41*

36*

IS*

62*

64*

32*

SI*

4270

52

41*

17*

22*

22*

16

31*

35

45*

27*

42

367s

18*

61*

54*

32*

51*

Tandy—.

Teledyne

Tektronix

Tsnneco.

Tesora Pet

Texaco ,

Texas Comm. Bk]
Texas Eastern—
Texas Gas Trn—
Texas Instrim'ts.
Texas Oil A Gas.
Texas Utilities...

Textron -

Thermo Electro-
Thomas Betts—

Tidewater -

Tiger InU—

77me Inc.

T mes Mirror 1

35

140*

65*

33ia

21*

33*

387s

53*

34*

81*

347,

197a

27*

22*

68*

417,

14*

377*

46*

S3*

138*

55

33*

20

83

38*

52*

36

80*

36

19*

26*

21*

58

42*

13*

38*

45*

Timken

Tipperary—

Tonka.

Total Pet

Trane —

T ran same rlca...
Trans way- — ...

Trans World

Travelers— — ....
TricentroL. —

64*

»•

o2

s-

161t

441,

B*

64*

S3*

32*

L4*

29*

S3*

13*

16*

437s

8*

Tri Continental...
Triton Energy —

Tyler-

UAL

UMC India -

Unilever N.V.

Union Camp-
Union Carbide—

20*

16

23*

17*

11*

62

49*

61

203*
15*
23*
16*
11*
5 if
49*
51*

Union CHI

Union Pacific—.

Uni royal

Untd Brands — .
Utd. Energy ResJ

US Hdellty G

US Gypsum ~ —

US Home

US Inds-

US Shoe—

US Steel —

US Surgical.

US Tobacco..

US Trust

Utd. Tech nolgs..
Utd Telecomms.
Upjohn

VF^

Varian Assocs -.
Vernltron —

3670

81*

.I"

41

41*

32*

14*

9*

33

30
20
47

31
42*
11*
53*
39*
30
12

37*

52

6*

12

40*

41*

33*

13*

9*

33*

297 b

20*

47*

31

41*

21*

53*

40*

30*

11*

Virginia EP

Vulcan Matria —
Walker (H> Res...
Wal-Mart Stores.!

Wamaoo

Warner Comma.
Wamer-Lambt ...
Washington Post]
Waste Mangt—

Weis Mkts.

Wells Fargo .. —
W. Point PeppI—
Western Airlines
Westn. Nth. Amr.
West! ng house—

Westvac« M

Weyerhaeuser....

117,

54*

19*

42*

27*

65*

22*

316b

34

37*

26*

23

5*

22*

26*

83*

29

11*

54

19*

42*

27

56

22*

31*

337,

37*

25*

227 b

47,

23*

25*

23*

29

Wheelabratr F—
Wheeling Pftts-

Wh/ripooi—

White Ccnsottd..

Whittaker

Wlokes —

Williams Co.

Winn-Dixie Str

Winnebago

Wise Elec Power]

Wool worth

Wrigiey

wyiy

Xerox.

Yellow Frt Sys...

Zapata . —

Zenith Radio

43*

29*

25

27*

33*

9*

27*

30*

3*

27*

18*

SB*

8

41*

16*

277,

11*

44*

30*

29*

27*

33*

9*

27*

30*

3*4

27*

IB

36

8*

40*

15*

28*

11

Indices

NEW YORK -DOW JONES

Industrils
I'me Bnds.

ran sport..
Itilities ....

[882.^875.00 87J.10j S68JB(870.54
57.05 68.63

fading Vql

ooo-t

Jan.

4

5B.9SJ

Dec. Dec.
31 ! SO

Dec.

29

378.683811.50;

lD 8 . 8 wlO 8 .O 2 j

36,76044,780

42^60

56.96

378.57

378.44

108.54] 109 JK

59^00

Day's high 887 J7. low 871.86.

Dec.

28

67.40

378.44

109.81

Dee.

24

I873J8
67 JS
I380J81
iios.ss

28 J 3Za!23,34fJ

1681 iSInce Gmpirt'n

High Low ! High | Low

1D24JI6

(rirtl

65.78

(1611)

447.38

(18/4)

117.81

(6/1)

824.01

l*5|8)

64.89

nnoi

355.48
(26/8)
101 JM
(28/9)

! 1061^70 ! 41 J2
(11/1/75) (2/7 fit)

’ 447.38 KJ5
(16/4/81) (8/7152)
• 166.52 1IU
(2074/ 68) (28/4/42)

Ind. dhr. yield %

Deo. 31 Dec. 24 1 Dec. 18 Year ago (approx

6.32

6J5

6^4

6.69

STANDARD AND POORS

Indusfls.,

Composite 122.74|

Jan.

4

Dec-

31

157 J8 1 157.12

Dec.

30

J22.3N

Dee.

29

Dec.

28

157.09

138.88 j 138.74)

121.87 1 )ffl.27) mH

Dec,

24

1981

High

157 JB2
(6/1)
138.12
(6/1)

fnce Cmpirt'n

Low

128.49 f 188.98
124/9) 828/11/88!
IttJll fl«J2
(24/9) 1(28/11 80]

LOW

Ind. dlv. yield 2

Ind. P/E Ratio

Long Gov. Bond yield

Dae. 51

5JIS

13.71

Dee. 23

5.35

. 8.24

13.60

Dec. 18

U2

(50(8/52)

4.402

(t/B/52,

5.33

8J84

13.04

Year ago (approx)

4.36

9.57

11 75

NY. S.E. ALL COMMON

Rises and Falls

l Jan. 4 .pec. 31 Dee. 30

1981

Jan. 1 Deo. Dec. i Dee.]-

4 1 31 . SO ! 29 }

High

Low

7120 71.11 70.9070.56,

i 1 i 1

79.14

64.96

m

125/9)

Indea Traded.. 1
R*es,

Falla

Unchanged

New High*—
New Lows -

1,QB3

S39

601

343

9

10

1,999
938
606
466 .
18
25

1,993
822
668
613
. 9
35

MONTREAL

Jan.

4

Deo.

31

industrials

Combined

Dec.

30

, 352J9I S52J»7

316.88 316.18) 31BJ7

TORONTO Composlta!l958J |l,9&La]l,m.«j

Dae.

29

53U8

816,07

1858.8

1981

■High

489.68 (27/6)
876.28 (13/8)

2578.8 (10/4)

LOW

8T0J1 (26/9)
t05J7 (25/9)

1B12-4B (ffi/3)

Monday,

NEW -YORK ACTIVE STOCKS
Change

Stocks Closing on
traded price day

Change

Stocks Closing on
traded price day

IBM ............... 737.800 B8«, 4-1* Gino's Rest. ... 417.200 17* 1+ %

Exxon 636.500 30* - h Am. T«|. A Tel. 377.500 58 1 *

Sears Roebuck . 578,400 16* M- * Sony 306.900 17* *

Illinois Power ... 484,000 30* - * Stand. Oil Ohio 302,700 40* r- \

Philadelphia Sec. 433.800 .13* bh * Mobil ... 330.200 35* fcS

Jan.

5

Jan.

4

Dec.

31

Dec.

30

190

HJgh

1-68

Low

AUSTRALIA

All Ord. 0/1/80)

Metal & Mines (1/1/80)

694.8

42Z7

69U

428.1

69U

424.1

885,1

4272

757 J (8/4)
75BJ (7/1/61)

646J (29/10)
404J (20/11)

AUSTRIA

Credit Aktien (2/1/0)

HJI

67.14

8EJ4 (15/10)

BELGIUM

Belgian SE (31/12/80) ■

88.46

(C)

8724

88.48 (8/1/82)

68 jz ne/8)

DENMARK

Copenhagen SE(1/1/7S)

116 £6

(C)

129 3B (17/12)

86.88 (2/1/81)

FRANCE

CAC Genera) (28/12/21)
Ind Tendance (S1/12/B1)

U0

88.6

BM
87 J

B2JH

108.00

77j mm

67.7 (4/1/82)

GERMANY

FAZ-Aktlen 01/ISiU)
Comm erzbankIDec IS6Z]

221.53

B75J

225.21

8822

te)

1C)

245j47 (5/7)
748J (S/7)

216JS (3/2)

688.4 08/8}

HOLLAND

ANP-CBS General n870) 86JI
ANAGB5 Indust (1970) BSJ

m

fc)

(c)

842

W.1

■ 96.8 (28/8)
76,4 (22/8)

78J (2819)

81,4 (22/12)

S

140622

14 TB .51

1B1OJ0 (17/7)

1115-77 (5/16)

ITALY

Banca Comm Ita (1812)

198,66

195.SC

184.81

2S2.Q3 (9/8)

JAPAN**

Dow Average (16/spS)
ToKfo New SE W1/W)

T710J4

671.8*

(C)

te)

(0)

(c)

3019.14 (17/8)
609 J2 (17 ft}

6958J2 (1619)
486.78 (6/1/81)

NORWAY

Oslo SE (1/1/72)

13.88

127.15

(0

126,81

145 J8 m

110J4 (5/8)

SINGAPORE

Straits Times (1860)

807.14

787 JS

780.76

778 JO

373.28 (26/8)

815J8 () m

SOUTH AFRICA

Gold (19SB)
industrial ( 1 SS 8 )

(u)

(u)

885.8
78 5.6

—

596.6

70U

787.6 (7/1/81)
708.4 (21/16)

475.S (3/7)

557j am

SPAIN

Madrid SE (30/12/01)

.89.17

tel

(e)

100. OS

UBJD (30/12/81)

99.17 (5/1/82)

SWEDEN

Jacobson A P. 0/ 1/60)

627.22

m

te)

8nj4

OE31 (18/8)

404.17 (23/1/81)

SWITZERLAND
SwlaeBankCpn^SI/1 2/68]

ea

2B8J0

2S8.9

684 J (2/4)

242.9 (17/11)

WORLD

Capital IntL OH 170}

188.8 (28/9)

( M )j Set Jan 2l Japan Dow (c) TSE (c)

. Base valuee of «R ladicae era 100 except Australis Ail Ordinary and Metals—
EOOE NYSE All Common— 60; Standard end Pooie— IOC and Toronto— 1,000; the
last named baaed sa 1875. t Excluding bonds. 1 400 todusuiab. I ago
industrials Plus 40 Utilities, 40 financials and 2D Transport*, c Closed,
a Unavailable.

Early Wall St. fall of 9.8

W . j. — M il.* tTmumnrttr ftlTTHt

TH ECOKBTNATTON Of a rise
in ah* weekly U.S. money supply
figures and bearish projections
on interest rates from. SaJomon
Bruthera economist Henry
Kaufman sent WaH Street
sharpiy lower yesteijd ay morning
in active dealings.

lire Dow Jones Industrial
Average weakened 9.80 to ^2-72
at 1 pm and the NYSE An Cam-
moD Index feU 84 cents to 870J6.
while declines outpaced mes hy
a five-tlHwo ratio. Trading
volume swelled to 33.51m stores
from Monday’s 1 pm level of

25.41m. ,

Analysis said the unexpected
rise of Sl.'4ira in the <d.os^
watched Ml-B measure of the
money supply fuelled concern
that interest rates will not
decline over the near-term.

Adding to these worries were

Kaufman's projections that the

recent downward trend in
interest rates would probably
reverse before mid-year and that
the dollar amount in the weekly
Treasury Bill auctions would
increase substantially.

Larry Wachtel, of Bache
Group, said investors are over-
reacting to the money supply
figures and Kaufman's projec-
tions because the technical
underpinnings of the market are
so weak. He noted that Monday’s
74-point gain in the D-J Average
was due to s trength in Blue Chip
stocks. Stocks setting new lows
exceeded those reaching new
highs on Monday and. the Bell-
weather D-J Transportation
Average was lower.

Oil stocks, among the stronger
groups during the last half of
1981, fell victim to selling.
Phillips Petroleum lost SI to
$38}. Texmeco } to $2}. Son 2{
to $90, Texas International
to $34}, Cities Service 1} to 943}
and Superior 1} to $35.

Marathon Oil fell $3 to S79}.
Mobil has asked the Supreme
Court to block U.S. Steel's pur-
chase of Marathon stock.
American Can dipped 1} to $33}

Closing prices for North
America were not available
for this edition.

on news that James Stiver is to
buv some of its operations for
§420m. James Bfver was on j

Blue Chips, volume
leader IBM eased J to 357*.
tractrngTi Kodak SI to §72. Merck
SI to SS4i. ABied * to Mfc
General Electric 5 to §5iS and
Do Pont i to S37*.

THE AMERICAS SE Market
Value Index retreated 3.05 to
, 31S.36. Volume JLSSni shares.

Canada

Most sectors showed a down-
ward bias Id moderate early trad-
ing. The Toronto Composite
Index declined 192 W 1,837.1, Oil
and Gas 45.8 to 3.667.9 and Golds
4.0 to 2,881-5. In Montreal, Banks
fell 6.13 to 34S.75.

Tokyo

The market was inclined to
gain fresh ground initially, but
subsequently declined to end
mixed to lower on the day
following a moderate business.
Later sentiment was undermined
by news of a U.S. dumping deci-
sion against Nippon Electric.

The NIkkei-Dow Jones Average
was just 0.50 up on the day at
7,719.34, while the Tokyo SE
index lost 0.74 at 571.64 and falls
finally outnumbered rises by 324
to 248 on the First Market
Volume 240m shares (150m).

Brokers said some prices had
been well ahead until news of
the U.S. Commerce Department
dumping decision hit the market
and sent Nippon Electric and
other Communications shares
falling. The Commerce Depart-
ment determined, for the first
time, that a Japanese high-
technology electronic product
was being marketed in the U-S-
at an unfairly low price. Although
the decision is provisional and
the U.S. International Tnfde
Commission ha* to consider the
charges, the reports out of Wash-
ington had a substantial impact
on the Tokyo stock market,
according to brokers.

Nippon Electronic, listed at
the top in a private poll for this
year's most promising shares,
spurted ahead Y24 to Y834 on
Monday and was widely expected

to continue to surge. However,
the stock sided Y8 down yester-
day at YS26. A broker added
that “the amount involved (in
the dumping dispute) wasn't that
big. but the news threw cola
water on the market

Pioneer Electronic, Y1.720, and
TDK Electronic, ¥3,590. fimShed
a net Y4Q and Y30 weaker
respectively, while Victor feW
YllO to ¥2,740, hat Sony held
a gain of Y40 at Y3£00- . .

Kyoto Ceramic drew feverish
investor attention, triggered by
a nationally televised test on
Monday night of its ceramic
engine mounted on a car.
Although it Is generally expected
to be four to five more years
before commercial production of
car s with ceramic engines
becomes possible, the test never-
theless stirred up widespread
interest At one time, Koyto
Ceramic was Y100 higher but
eased to end the day with
a Y40 gain at Y3.950. Toshiba
Ceramic advanced Y51 to Y1.020

^Sjeet^GlRSs rose Y13 to Y385,
A im win Machinery Y25 to Y776,
Kyowa Bakko Y14 to Y632,
Yasukawa Electric Y9 to Y680
and Sumitomo Chemical YS to
Y181, but Canon shed Y15 to
Y925, Nissan Motor Y10 to Y825,
TTltarhl Shipbuilding Y7 to Y220
and Honda Motor Y9 to Y812.

Germany

The previous day's buying en-
thusiasm waned and stocks
mostly retreated, watfc dealers
reporting some squaring of
positions which were built up by
professional traders on Monday.
The Commerzbank index, which
rose 7.0 on Monday, dipped 8.4
to 673.8. A

Stock mark^ investors were
also deterred by a downturn on
the Domestic Bond market after
a good performance on Monday.

Prices of Public Authority
Loans fell by as - much as
50 pfennigs. The Bundesbank
bought DM 51.1m off paper in
contrast to the previous day's
sales of 50m. Dealers cited
the sharply lower U.S. credit
market dose and yesterday’s
firmer U.S. dollar as reasons for

the turmbond hi the Bond
market.

Paris

Shares recovered most bf the
ground lost on Monday when ■
operators liquidated positions
ta ken UP before the rad of the
year to benefit from Honory, law.
tax concessions.

Hong Kong

Trading remained very quiet
yesterday, but lyeading Skates .
and some Utilities tended to pick
up a little. The Hang Seng index,
after retreating 29 points on Mon-
day, recovered 10.13 to 14B&78.
Turnove r on the four exchanges
totalled HK$13&95m, compared
with the previous day’s
HK$124-6Sm.

The firmer trend was partially
in sympathy with the overzaght
Wall Street improvement, -.and
some institutional support ;was
noted, but was mainly technical
However, general market senti-
ment was mixed, and private
speculators were generally adopt-
ing a wait-and-see attitudes 1

HK Gas looked an escep- ■
tionally strong- spot in Ut ilities i
with an advance of.HKS2.75 at
HKS3Z25: China Gas put oo 20
cents to HKS13.20, but HK We- ■
phone, which lost HK8L45 on
Monday, was 30 cents lower at
HKJ29.50.

Australia

Activity stayed ait a low • ebb
wftai prices again dosing
narrowly mixed.

Oils, however, continued to
show - a former bias, where ‘
changed. Beach Petrotemn -
hardened 5 cents more to AfcLTO
on tows that the Bass Strait
well. Sperm Whale NO 1,
tod encountered hydrocarbons.
Santos added 10 cents at A57.00,
bat store prices of ether
partners to the Jackson No 1'wl
were barely Ranged. j

Johannesburg j

The recovery to the Brill on
price to above the $400 level left j
Gold shares with a firmer/ bias'
after another light trade, i

Among Heavyweights, land-
fontein rose 150 cents to! E74

■■•j n

CANADA

Stock

AMCA IntL. -I

Abltibi

Agnfco Eagle

Alcan JUumin

Algoma StooL—

Asbestos

Bk. Montroal-....
Bk. Nova Scotia.
Baalo Resources

Jan.

4

as*

20*

6*

27*

46

19*

24*

87*

4.60

Dee.

31

20*

20*

6*

27*

46

197g

24*

28*

4.40

Ball Canada.-

Bow Valley

BP Canada. I

Brasoan A-

Brin co

B. a Foret!

CILInc...

Cadi llacFalrv1ew{
Camflo Mines.—.
Can Cement

19*

19*

88*

24*

6.87

127b

33*

13*

19*

11*

19*
19*
33*
23*
6.00
12*
32*
14
19*
11 *

Can N W Lands...!

Can Packers I

Can Trusco

Can imp Bank- J
Can Pacific-. — .

Can P. Eut

Can Tire — ,

34*

33*

29

29*

41*

18*

33

35

33*

39

29

4170

18*

33

Cb I attain ....

Comlnco-

Cons Batfist A...
Cont Bk. Canada!

Costain

Daon Dover

Denison Minas -.
Dome Mines -

22*

55*

16*

8*

10

6.12

32*

18*

22*

55*

18*

8*

10

5.12

82*

38*

Dome Petroleum 1
Dorn Foundries A|

Dorn Stores

Domtar.... -.J

Falcon Nickel.. — |

Genstar— ...

Gt-WestUfe....-

Gulf Canada ]

Gulfstraam Res...
Hawk Sid. Can—

147b

41

16*

82

73*

24

245

18*

6.00

12*

16

40*

16*

217 8

74

23*

241

18*

6.00

12*

HoNIngor Argus,.!
Hudson Bay Mng'
Hudson’s Bay —
do. OH ft Gas... i

Husky Oil

Imasco

Imp Oil A

Inoo-

IndaJ.

Inter. Pipe— _|

30*

25

207a

61*

lOTg

41*

253*.

17*

14*

14*

ZQ*

21

21

50*

10*

42

26*

17*

14*

15

Mac Bloedsl— ..
Marks* Spencer]
Massey Ferg ..
McIntyre Mines..
Meriand Explor.J

Mitel Corp

Moore Corp .

Nat. Sea Prods A|
Noranda Mines J

25*

9

2.15

42

10*

99

39*

7*

22*

26

9

2.06
42
10*
28
39*
• 7*
22*

Nthn, Telecom-
Oakwood Pet-
Pad tie Copper-
Pan ean PetroL.

Patino... —

Placer Dev

Power Corp

Quebec Strgn ._

57

18*

2.08

69*

IB*

16*

15*

3.10

5B

17*

2.05

69*

18*

15*

16

3.10

Ranger Oil

Read Stands A,
Rio Algom. —
Royal Bank. —
Royal Trustee A~|
Sceptre Re*.—

Seagram

Shall can oil-.
Steel of Can A,

9*

11*

40*

27

14*

13

683*

19*

31*

9*

11*

41

267a

14*

13

68Tb

19*

51*

Teek B.

Texaco CanadaJ
Thomson News A

Toronto Dom Bk.|

TransCan Pipe ..
Trans Mntn. Oil Ai

Utd. Sisco Mlnsv

Walker (H) Re

Westcoat Trans J

Weston (Geo)

11

35*

23*

31*

24

10*

6*

23*

13*

36

11

36

23*

31*

24*

10*

6*

23*

13*

36*

AUSTRIA

Jan. 5

Crea/tenstaft

Lanaarbank

Perimooser

Samperft

Steyr DaJImer....

Veitsoher Mag....

Price

220

197

259

103

173

201

■for

+2
—7
+ 1
-6
—5

BELGIUM/LUXEMBOURG

Jan. 6

ARB ED —

Bang Int A Lux..

Bekaert B

CimentCBR— ..

Cockorill

EBBS- — ...

Eleotrobel ........

Fabrique Nat

G.B.lnno,,—
GBLlBruxU.

Qevaert

Hoboken

intercom

Kredlatbank— ....
Pan Hldgs—

Price

Frs.

•for

1,014

3,900

1,450

1,290

14B

2,880

4fi06

2,000

2,200

1,220

1.530

2,680

1,400

4,600

5,500

+4

BELGIUM (continued]

1

Jan. ‘5 i Price

J Frs.

+ o»

Petrofina.

4.600

Royal e Beige

4,650

+ 150

Soc. Gen. Banq...

8^00

+ 5

Soe. Gen. Beige...

1,016

+48

So fins ......

3,170

Solvay-

2,070

+ 35

Tracton Elect —

2,320) +85

UCB».

1,4961 —24
594] +28

Union Minlere....

Vlellle Mont.

2.330

+30

DENMARK

Jan. 0

Prioe

a /

+ or

And el shark on..-

129

Baftl ca Ska nd

356

-J

CopHandalsbank

137

D. Sukkerfab...+

336.4

-0.8

Dan ska Bank

137

East Asiatic-

141.8

— 4

Forende Berygg.

B17

Forenede Damp.

3B6.4

+0.4

GWTHldg

Jyake Bank

263

IBS

+ 1

Hard Kabel

155

1,446

91

Papirfabrikker_.

Prlvatbanfcen

137.4

■■■■■■I-

Provinsbanken--

130

Smldth (F1)._

261J

S. Berendsen

465

—1

Superfos ...

139.2

+0^

FRANCE

Jan. 5

Price

Frs.

+ or

Emprunt4i$ 1875

1.979

+7

Emprunt 7% 1875

7,036

+ 5

CNE 9%

2.82C

+ 10

Airtiquide

454

+ 16

Aquitaine

149.1

+5.6

Au Prlntompa. ...

118

+3

BIC

397

+9

Banq 1 Rothschild

208

-1.9

Bouygues

1,010

+69

BSNGervala

1,174

+ 14

Carrefour

*575

+21

ClubMediter

4fel

+ 16

CFAO

562

+ 12

CGE

381

+ 1

CSF(Thomson) ...

183^

+3.4

Cie Ba noair a

162

+2

CleGen Eaux.

281

+ 12

Cofimeg

109

+ 1

OCF

156

+2

Creusat Lorre..., .

50.1

4 0.5

CFp

117

+5

DNEL

37

+0.9

Dumez

1^9£

+ 14

Gen.-Occidental.

401^

+0J3

Imetal

76,8

+0.8

Larfarge

282

+2.1

L'Oreal

720

+0

Leg rand

Machines Bu//._.
Matra

‘■r

1,215

630

+30

+0.6

Michelin B

+ 17

Moet-Hennesey

550

+8

Moulinex

68

Paribas

203

+3

Pechiney

98

—1

Pernod Ricard...

261

+7.5

Perrier

148.5

+ 1

Peugeot-SJL ....

172.5

+7.7

Pociain

137.6

+ 1.6

Radiotech

194

+ 5

Redoute

770

+ 10

117

—1.5

1 ~ : Mil

219.9

147

+4.9

lSkla Roeslgnol..

477

+3

Isuez -

322

+3

877

Thomson Brandt

242.6

+0.5

Valeo

177

+8

GERMANY

Jan. 6

Price

Dm.

+ Of

AEG-Telef.

Allianz Vart_

m

-13

BASF

134

—1.8

BAYER.—

114.S

—0.9

i l . .j. i .mm-

169

— S

272

— 1.5

1 BHF-Bank

197

191.3

208

—1,5

129.6

-2.5,

42^

+0.2

JiVl.ljB 1

2B5xr

—5

Degussa

240,6

—2

Demag

140

+1

D'sohe Babcock.

174

-5

Deutsche Bank^.

263.7

-2.8

•jl “ Tvi |

152

—1

132.6

—2

•j 1 1 ! !■■(■(■■■

208.5

—1.5

60

......

Hoechst.

121.61

-OX

Hoeach,.....,

19.6

-0.5

Hoizmann (P)

386

Horton..

m

-LB

Kail und Sate

172.0

—2.5

Karstadt....

184

— 3

Kaufhof„

140

KHD

1B%«

-1

Kloeckner

53.8

-1.2

Krupp..

49^

KM

Unde

310

-6.6

Lufthansa .

63

+0JJ

MAN.

186 .

-1

Monneamann ...

150.6

-2.5

Mercedes Hlg,»..

248

—3.5

Mejallgessell^...

27a

....... M

Muench Ruck

640

—40

Prouasag...

195.5

Rhein VVextaect
RoBenthal.._

169.2

291

4-8.7

Sobering

278

-3

Sia man

204.5

— 2

Thyssen

72.3

—1

Varta

176

+x

Veba

126.8

— CL2

L* II llil . P— 1

270

—1

| Volkswagen.

152

— 3,8

HOLLAND

Jan. 5

ACF Holding

Ahold — -

AKZO

ABN

AMEV. ......

AMRO -

Bredero Cert

Boss Kalis

Buhrmann-Tet -
Calantf Hldgs —

Elsevier NDU

Ennla —

Euro CommTst—
Gist Brocades—.
Heinoken —

Hoogovens

Hunter Douglas-'

Int-Mutler

KLM —

Naarde's

Nat Ned oert— ,
Ned Cred Bank—
Ned Mid Bank —

Ned Uoyd

Oca Grintan—
Ommeren CVanL.

Pakhoed

Phillips. 1

RIJn-Scbelde —

Robeco

Rodamco — |

Rolinco — —

Ro rente- — J

Royal Dutch.——
Slavenburg's .....
Tokyo Pao Hg— J

Unilever .....

Viking Res

Vmf Stork J

VNU- _!

Volket-Stevin

West Utr Bank-

Price

FIs.

+ or

71.51

63^

sax]

282

85.5
' 53.0
187 ,

G9.6j

36.g

33.7/

135

117^

74

61.61

48.6

15.7
6^

19.1

82.5
26.3

109.3
34^

130^

140

6B.7|

29

40.5|

20.5
32.fi

222^

118.4

217.5
135.4

85.6
72

228

148.7

140

39

48.7

28^i

6a.a|

+ 5.2
-1.0

—0.7
-0.4
+2
— OJS
— 0.3

+ 1
+1

-0.4

+0.8

+0.1

-0.7

-0.2

+0.8

+0.3

-0.6

-7

+3

+0.1

+0.1

-0.3

+0.1

+0.5

+1.9

+0.2

+0.9

-OS*

-OX

-0.1

-0.5
+ 1
+0.5
-2.3
-0.2
— 0^

ITALY.

Jan. 5

Assicur Gen 1

BancaCom'le ....

Bastogl Rn

Centrals

Credlto Varesino]

Fiat

Rnslder—

Invest-..— |

Italcemanti 1

Italslder.

Montedison-

Olivetti —

Peretii Co

Pirelli spa |

Snla Vlscos

do. do. Pri

Toro Assie— !

do. Prof..

Price

Lire

145,600

34,500

246

3,690

8.170

1,005

2S

2,860

36.700

120

160.25

2,465

2,351

1^49

686

19,300

15,450

•for

-2.75B

-200

—285

-229

—35

—2

—75

—400

AUSTRALIA

Jan. 6

. Price
Aust V,

+ 1.ZB
+40
—19
—46

-800

—440

ANZ Group-

Ac row Aust.. —
Ampol Pet -

Assoc. Pulp Pap .|

Audimco

Aust Cone. Ind.„

Aust Guarant.

Aust Nat Inds ._|
Aust Paper.—

Bank NSW.

Blue Metal——

Bond Hldgs

Bora!

BTvUla Copper —

Brambles I ndsL..

Bridge OiU-

BHP -

Brunswick Oil—
CRA. ..... MB — ....... .

CSR.

Carlton A utd—.
CastlamaineTysJ
|Cluff Oil (Aust)-
1 Do. Opts .. .......

Cockbura CemtJ

Colas (GJ).,

Comal co —|

Container.— 1

Costain.—

Crusader Oil

Dunlap

Elder Smith GM

Endeavour Res..

Gen Pro Trust...'
Hartogen Ene rgy]

Hooker '

ICI Aust —|

Jennings

JImb’lana(SOcFP|

Jones (D)..—

Kia Ora Gold

Leonard OK—..
MIM

Meekatharra Ms

Meridian Oil. —
Monarch Pet — !

MyerEmp J

Nat Bank.

News 1

Nicholas Int—.
North Bkn HUI^J

Oakbrldge—i ,

Otter &cpel

Pan con.

Pan Pacific ;

Pioneer Co_

Queen Margt Gj

ReekHt ft Coin— J

Santos —

Sleigh (HC) I

Southland M’n'g,:

Sparges Expel

The*. Natwlde—

Tooth

UMALCons |

Valient Consdt...
Waltons.-

Western Mining.,

Woodside Petrol

Wool worths.

Wormaid IntJ

NORWAY

5.74

1.40

1.73

1.96

0.10

1.76

2.50

3.16

2.16
3j05

1.70

2.70
3J6

1.22

2.58

4.56
10.45

0.16

2.80

4.0

2.57
3^
0.68
0.46
1.29
2,60
1.62
0/W

3.0

6.5
1J06

436

0,40

1.82

6.0
MS
L88

1.58
0.50

1.70
0.14
a44
3.12

8.3
0.52
0.16

1.6

2.86

2.4

1.39
2.65
2.07
1.15
2.65
025
L78

0S1

2.40
7.0
1L2
0.6
a37
2.50

2.25
2.10
0.18
0.85

4.10

1.25

1.79

2^0

■for

+0JB

+0Jffi

- 0.02

+O.OG

+ais

-OJ»

- 0.02

+0J16
+ 0JJ1
+OM

+0.82

+0.01

ZqM

+0.1

—OJS

+5155

+ojn

—022

— 0.02

+0JI1

— 0J«

— aei
+0JI1

+0J1

+SSi

+O.M

+0J»
— 0J«
— OJD7

+ 0.1

— OJft

+6ifi

JAPAN (continued)

Price

Jan. 5 | Yen

Kubota ....
Kumgaal .

Kyoto ceramic— I;

Don —I

Maeda Co ns l

Maklta. 1

Marubeni

Marudal —

Marui

Matsushita. — —i

Mta Elec Works.]

M’blshl Bank...-!
M'bishl Corp.— . .

M'blshi Elect

M'bfshiRI East...!

MHI

Mitsui Co....

Mitsui RJ Est. |

MHsu-koshl

NQK Insulators.-

Nippon Denso —

, Nippon Gakkl —

Nippon Bhlnpan.

Nippon Steel.

Nippon Suisan —

NtawSiSorZIZ

NIsahlnFlaur.

Nisshln Steel

Normura

NYK —

Olympus — ....

Orient—

Pioneer——

Renown

Ricoh

Sanyo Elects..

Sapporo ,

Saklsul Prefab— |

Sharp

Shlsledo., —

Sony — . — —

Stanley-

Stomo Marine—

Talbel Dengyo—

Taisei Corp..

Taisho Pharm

Takeda :

TDK

Teijin.

j coy

‘ r

— OJBl

— OJJ6

Jan. S

Bergena Baks ...
Borregaard ......

Creditbank

Elkem — ...

Kosmos

Norsk Hydro

Storebrand i

Price

Kronen —

110.51

127.5

UB

49

446

405

236

■far

+3
+ 1

— its

SWEDEN

Jan. 5

AGA

Alfa- La val

ASEA

Astra

Atlas Copco

Bollden

Collutosa

Electrolux B .....
Ericsson

EsseftetFree; —

Fagersta

Fortla (Free)

Mooch Dom

Saab-Skanla ;

SandviklFhae)

Skandie

Skan Enskilda

SKFB.

St Kopparberg _.
SvenHandetebn.,
Swedish Match...
Voivo(Free)

Price

Kronor] —

222

810

177

366

129

230

249

85

820

163

132

95

138

131

220

580

.252

162

305

137

11B

15Z

+ or

+2
+5
+2
+ B
+2
+4

+0.3

+a

+2

-1

+3

+2

+ 10
+8
+4

+8
+ 1
+2

SWITZERLAND

Jan. 5

Alusuisse.

Brown Bovari-_

Clba-Gelgy

do (Part Carts),.
Credit Suisae_.,

Elektrowstt.

Fischer (Geo) ... J
HofT-RochePtCts
Hoff-Roohe llio]

Interfood -

Jelmoli -

Landis & Gyr I

Nestle 1. 1

Oer-Buhrlie

Pirelli

Sandoz (B)

Sandaz (Pt Cts) ..
Schindler (PtCta)

Swissair.

Swiss Bonk

Swiss Rehuce _.
Swiss Volks bk ...

Union Bank-,

Winterthur — .
Zurich Ins—

Prioe

Fro.

675
1,100
*286
970
2,010
2,200
w 480
63,600
6,326
5.460
1,330
1,060
3,200

1.4501

■■a#

4,150
518
• 242
690]
325
6.600]
980
3,18fi
2,330
16,100

+ M

-a

+ 15
-8

-10

—10

+260

+ 10
+ 10

-86

+4

-2-

+5
+6
+ 100
-8
+8
-70
+98

HONG KONG

Jan. 6

Cheung Kong*—

Cosmo Prop.

Crow Harbour....

Hang Seng Bank

HK Eleotrio

HK Kowloon Wh.

HK Land

HK Shanghl Bk...
HK Telephone....

Hutehlson Wpa_

Jardine Math

New World Dev-

O'seas Trust BJo.

SHK Props.

Swire. fiae A.

Whear* Hard A.

Wheerk-Martti'e

World Int. Hldgs.

lAPik

Jan.- 5

Ajinomoto.

jAinadh..— ;

Aaashi Glass..

Bridgestone.

Catron. •

ass*

DKBO_ .._

Dai Nippon Ptg-^

DaJwa. House

DaiWB.Selko^^,,

Ebara_ ,„J

Elsal —

FUJI Bank

Fuji Film

Fujisawa

Fujitsu Fanue. u
Green Cross

Hasagawa,

HnwaR} East....

Hitachi

Hitachi Kokh.

Honda

Housofood j

Hcya

Itch CC)

tto-Hani

ItoYokado

! JAGGS-

JAL- ;

Jusco^

Kajima — „

Kao Soap

Kashiyama „

Kikkorrtan..

Kirin

KoJteyd-.

Komatsu
Komatsu Flft_„,
Koflishrolku

Pried

Yon

904
635
.687
>436
925
,..328
625
■ '475
709
400
Z1S
429
976
496
*270
,1,390

K 600
P.160
660
575
683
635
812
1,000
830
345
436
1,040
i 689

fag

700
360
558
825
385
,• 431.
1,020
464
820
667

+ or

+9

+5-

+8

-^-15

,-1

+6“

+20

+5
— 30
-10
+100
-20
+20
+9

+3

+5

— 2
+9

+ 10
+ 11

+7

Telkoku OIL.. |

TBS ,

Toklo Marine m J
Tokyo Elect.Pwr.

Tokyo Gas

Tokyo Sanyo

Tokyu Corp

Toshlba ...

TOTO _]

Toyo Seikan

Toyota Motor

Victor

Wacoal

Yamaha

Yamazaki —

YasudaFIre

Yokogawa Bdgej

SINGAPORE

Jan. 5

Bou stead Bhd

Cold Storage

DBS

Fraser & Heave .,

Haw Par.

Inchoape Bhd ....
Malay Banking...]

Malay Brew-

OCBC.

Slme Darby

Straits Trdg>

UOB.

fCJOl
10 JIB

fax:

■o.«

Job

■ojo

i-o.ia

SOUTH AFRICA

Jan. 5

Prioe

Rand

4- or

Aberodm^.;

AE fca-f-L

Angjp Am„...__J
[Anglo Aih GoicO‘105
Angfd Am Prop~J —
Barlow Rand_..

CNA Invest —

Currie Flganqe^

3J8S __

10#6 +036

i 45

Da- Be e r a. ' •

Driefoot&ln n ; |

FBGeduld-^.
Gold Fields 6A.
Hl flhVakfS taaL.

KhxAi.^:;r:

HedbUuic:

OK Bazaars^. ,

Protoa Hldgs.:. Jj
Reng>raifL^..ul

Rennfas^: h ]

Rust Plat™ |

8age Hldgs

SA Brews.

Tiger Oats.

Unisac. I

SA8l

Ffimmrial Rand .US|d.?9

(DUcouotof 24J56),

BRAZIL t ;.:'N

Jan. 5

Aexlta

Banco Bi-aall

Banoo Itau

Beige Min ^ >2

Lolas Amer.^

Petrobrai PP

PlreHIOP.

Souza Cruz.

Unjp P£.

Vale Wo Poce'

Pr-oa]

Cruz

0^0]

1,90.

■Mg

0.QD|

un

+«*>/.

' ■«

*o.ir,

i *

r*.

. Turnover Cr.1^22.1ot:

. Volume:. 30l^4m. >
Bourne; Rio a Janeiro ■$£*-

. NOTES— Prices on tUs
taoMdnsl exiiienyea and am
autaemled. *dE* dbidand.
asExett,

. — -«• as qoatsd ed ft*
J>A traded ' prices, 9 D sa fcgs
*& scrip Iscue. arfit rigWa,

^ mes Wednesday . January 6 1982

COMMODITIES AND AGRICULTURE

V.

5^** :*

36**^

, ^ V

'JKuiSS

-•,*-■ Jj? 14 w
?. K5I «
■*..

v‘ -«i ij.

■*■• V*’i ..Xv,

' *v‘- >2

_ *" cssM/nc
-. .^ “2*!

fuel cocoa

'■'-^w a- . ,
-■ '■ei ^ 6

- kach'TL*

U:"'^

= Sr

■•j-4

=r*&i

’•• csssa

‘nesburp

IS *

V,

;.:; A*;:./ k*

....

■ -w .30 r*Ti

~ •■ ■ 5 !»: :=

!i.«:i: . «::

•:« •!. .Si M ..

:«•:!'=- iw :

::**.. Cl /

••■3a -a

=.-: ’ ■ a-- » 4

rs-T* «•<

v :;.

S5S V f E v

ri- " r :. - “

-.1- • i'.et

st'riqhard ffogwinr ; :

; U ^ T Usw m.'.world .cocoa
ppices prompted' ‘by the Teceot '
joup in Gharia accelerated
yesterday May -position :

on the Landoiufutares market :
naming ftt/flf-to a

ton ne P . The. price. -has now risen
£75.50 since fheMew Year's Eve ‘
coup. reacfiin«.the- highest level
for more'than'; < tvo'inontfiS; . -•

"London.- dealers ‘ said yester-
day's. ,-flse reflected - “ follow-"
throagir " trading from the over-
night; rise in; New York" where
chart? and ■ cpmputer-buy ing ■ was

noted. '.The Upward impact . was
exaetrqraieii v ; hr speculators
coveting against earlier /‘short?
sale?,: they added. . . . =

■ ■Farther .^upward” -influences
■ included Viiffer stock purchases
"by -the international Cocoa-.
Organisation flCCoy on Mnn-
-day. of 3,606 tonnes. This, took

• the. stock to 67,945 tonnes and
another 31,400 tonnes- is to be
bought directly from producing
countries by January 22. -

•/ At one stage May cocoa
reached £1,202. 'a tonne but
. origin selling was encouraged at
.-this level notably ' from the
Ivory Coast and with . some
speculators taking their profits
the rise was trimmed back -in
'Mte trading.

■ Accra Radio, - monitored by
Retifer in Abidjan, Ivory Coast,
broadcast a . speech by' Pro-
visional National Defence
Council (PNDC) leader Flt-Lt

"Jerry Kawlingfriii which he said
. *an immediate task of the
PNDC WiU be. to see to the
evacuation of . all locked up
cocoa and coffee and foodstuffs
in the rural areas.’' .

He .added, " this is an assign-

ment that is the responsibility
of the whole country.”

The Ghana Cocoa Marketing
Board said, yesterday it pur-
chased a total of 53,626 tonnes
of cocoa beans in the third,
fourth and fifth weeks of the
1981 main crop season, ended
December 17. That brought
cumulative purchases for the
season- to 115,683 tonnes.

With a fifth successive world
cocoa production surplus in
prospect and stocks standing at
a historically high level. Ghana’s
failure to get much of its cocoa
to the ports has been one of the
few “ bullish ” influences on the
market. If the new regime is
more successful than the last in
shipping cocoa world prices
could be put under further
pressure making the ICCO’s job
of supporting -che market still
more difficult.

Tara mine move boosts lead/zinc

BY ROY HODSON /

BOTH lead., and -zinc gained
ground. ixr London trading yes-
terday as markets reacted to
the decision by Tara Mines to
put:. the Navan lead-zinc mine
in the Irish Republic in a care-
arid-maintenance basis indefi-
nitely.' '

After a siy-month close-down
because of a strike by Ihc
craftsmen at 'the mine, Ihe com- J
pany*s . latest pay offer was
rejected yesterday by the work-.-
force. Tara is. an important sup-
plier of lead- and zinc concen- '
trafes to - European smelters'-
But iii . the present depressed -
■state of the metals market there
is no. urgent need for the Tara
output' •- • ‘

On . -the London Metal
Exchange zinc finished at
£454.50' a tonne for cash, a rise
of £7. bn the day. Lead finished
at £3^6 a tonne for cash — £430
up- •

.-European reaction to the
prospect, of the Navan mine
being i out of production indefi-
nitely was summed up by Pres-
sag and. Metallgesellschaft, the
main West German zinc pro:
cducers. Both .companies said
last night they did not expect
. to encounter more than small
direct problems as a result of
the decision. However, there
could be' soine indirect prob-
Ieros affecting the European
metals Industries. Stmt concen-
trate prices could rise because

of increased demand from
Smelters whih have been using
Tara supplies.

Tara Mines declared force
majeure on all lead-zinc concen-
trates shipments on July 6 1981
after the craft-men walked out
and forced the company to lay
off the miners.

Zinc is sliW sufficiently plenti-
ful in Europe during ,i period
of poor demand for some Ger-
man producers to be offering ihe
metal at price levels slightly
below the producer price. The
zinc market Ls likely to remain
quiet for some months to come.
The United States market is no
longer strong enough to have
an impact upon European trad-
ing.

KUALA LUMPUR— Thp Kuala.
Lumpur Stock EJxchapge (KLSE)'.
has asked the .listed' tin mining .
group Malaysia.'Mining Corpora-;
tion. (MMC) to comment imme-
diately bn a local -press article -
• referring to MMC’s alleged links
with -,-a . recMtly : established
pnvate i Company called Maminco.

. The - "article, which ; 'appeared
yesterday in. the local daily The
Star,, asked among other things 7
whether Maininco and- ’the
influential tin 7 -.buyer on the.
London; market cohltfbe one and-

questions tin company

the' same.

"•'■/As far- as Mamin co is con-
cerned, its appearance has
created more questions than
“answers/ the: article said, add-
ing: that possibly the KLSE
could dear up the mystery.

■ The article quoted an' earlier
. agency report' that. Mamin co
was set np last June by MMCs
/hief executive, Abdul Rahim
AJri. and two.rotber directors
with a nominal capital of '200m
ringgit according to the articles
of. association. . '

It also referred to a Reuter
report of December 30 19SI
which quoted informed industry
sources as saying Maminco was
not a subsidiary of MMC.

u What- Mamanoo is and wha-t
it does no one really knows,”
the Star article said.

It added however that it is
known Maminco has made sul)-
stantial purchases on tftie
London Metal Exchange since
July. .

Reuter

Rise in
farm land
prices

By Our Commodities Stiff

ENGLISH FARM land prices
turned higher towards the
end of last year, according
To figures published by Ihe
Ministry of Agriculture
yesterday.

The average price for
reported sales totalling
10,300 hectares In the
September-Novembcr period
was £44151 a heel are, up from
£4,027 in the August -October
quarter and the highest level
since June 1980.

The weighted price, which
allows for the area anil size-
group composition of the
sample, was- up £94 to £4.0.14

a hectare while the land price

index rose from 205 to 210
(1973-100).

New tomato
variety aids
island’s crop

By Our Own Correspondent

PRODUCTION OF tomatoes
In Guernsey this year is not
expected to drop drastically
even though Ihe area of
glasshouses used for the crop
is being minced from the
1981 figure or 420 acres to 330
acres. This is due to a massive
swing by local growers to the
new high-vielding Dawn
(E4SS4) variety.

The results of a census
announced yesterday by the
island’s horticultural com-
mittee show that the Dawn
variety will account this year
for 88 per rent of the area
tinder tomato cultivation.

The committee says that,
because of the iucreased
productivity of Ibis new
variety and the larger area of
modern glass, the crop in the
coming year could be as high
as 5.7m six-kilo trays com-
pared with G.Sra trays in 1931.

Last year’s figure rep-
resented an average of nearly
93 tonnes cf fruit per acre,
but many growers using the
Dawn variety topped 130
tonnes per acre and some
recorded 160 tonnes.

The horticultural com-
mittee says it is hoped that
more island growers will
achieve the 130 lounc level
this year.

U.S. GRAIN SALES

.if

The consequences of getting tough

BY NANCY DUNNE 4N WASHINGTON

WHILE FEARS are intensifying
here of a de facto U.S. embargo
on gram sales lo the Soviet
Union, Mr John Hlurk, Secre-
tary of Agriculture, Js still
pitching more grain lo the
Russians.

In an interview here last
week. Ur Block denied that the
suspension of U.S.-Soviet nego-
tiations for a long-term gram
agreement and the expiry of ihe
U.S.-Soviet maritime agreement
last Thursday will have an
effect on the grain trade
between the two superpowers.

The moves were announced
hv President Reagan Iasi Tues-
day, along with live oilier
economic sanctions in relaxa-
tion for wbat he said was
the Kremlin's *' direct res-
ponsibility ” far the imposition
of martial law in Poland.

“The atmosphere is not
very good lo hold talks,” Mr
Block said, *■ but a long term
agreement is not essential. We
want to sell grain lo the Soviets.
We hope they'll buy more.”

In spile of the secretary’s
professed optimism, farm asso-
ciations and grains trader?, are
saying that the President’s
actions will create a de ruc/o
embargo of Soviet agricultural
purchases.

“The Soviet Union is being
Increasingly pressed in diversify
its sources of supply,” says Miss
Margie Williams, of the

National Association of Wheat
Growers, “ uur allies have
indicated that they will nut co-
operate with the President's
efforts, so there will be supply.”

The expiry of the maritime
agreemeut under which grain
sold to the Soviets was carried
on Russian, American and
third party ships, one-third
each, will ’cause further diffi-
culties. With out & maritime
agreement, the longshoremen
may refuse to load Soviet ships,
and (he Puissians may he dis-
couraged from sending in their
ships.

The U.s. has offered the
Soviets 23m tonnes of grains in
the year beginning October 1
1981. As of December 17, The
Soviet Union had bought 10.9m
tonnes, costing about Sl.5bn.
but uncertainties about the
possibility of a total trade
embargo may hinder future
business.

One large international grain
dealer in Washington said:
“We’re very cautious about
doing business with anybody
now unless we see the colour
of their money first.”

Worries about foreign grain
sales are growing just when
American farmers can afford
them least. Huge harvests, high
interest rates and inflation have
called v:i despread pronounce-
ments of a farm depression.

“ For the moment, agriculture

is in a depressed mode,” sa.d
Secretary Mr Block. “ Right
now prices are low, but tradi-
tionally, if you have a low
price, grain moves out faslei’."

Prices paid to farmers For
raw products fell 3.1 per cent
in December, and for the fifth
straight month averaged below
year-earlier levels, according to
Department of •Agriculture
statistes. For the first time in
nearly half a century the
monthly farm price index did
not rise at all last year.

Even worse, The index
measuring farmer buying
power has sunk to its lowest
level since 1932. USDA econo-
mists are saying that net farm
income could fail another $lbn
to $Sbn in 1982.

Mr Block na3 offered little
hope for government relief
beyond the comparatively
skimpy Farm Bill, which barely
passed congress 'last month.
Under the new me33ure, a loan
price floor of $3.55 per bushel
has been set for wheat and $2.55
has been set as the maire price
floor. In December wheat
averaged $3.65 a bushel (and
was still falling) compared to
S4.22 last year at this time, and
maize plummeted to £227 a
bushel, 92 cents below its
December 1981 level.

The National Association of
Whear Growers is demanding
an increase in the wheat loan

to a t least $4 per bushel because
farmers “stand io suffer greatiy
as unilateral sanctions are
applied to the USSR while other
cations continue their economic
and trade relations with the
Soviets.”

Since takin? office, Mr Block
has made efforts to promote
foreign grain sales and to con-
vince the F.F.C to discontinue
export subsidies of agricultural
products.

“ \ve have been trying lo make
the F.uropean Community
understand that we are serious,”
he said. While he plans- to con-
tinue discussions with Ihe EEC,
he is also looking at a range

of retaliatory options, including
American export subsidies.

Mr Block expressed great
frustration about the huge
American agricultural surplus
ar a time when there is hunger
elsewhere in the world. “ But
who's going to get it to them ?
Who’s going to pay for it ? The
.American farmer has to be
paid.” ,

He said the Far East holds
the greatest potential for U.S.
agricultural exports. “But I
don’t pretend to believe these
markets are going to explode.

“I have a great amount of
concern about what the future
holds," he said. “ We’ll have
to live through uncertain
times.”

EEC farm policy changes urged

SY JOHN CHERRINGTON, AGRICULTURE CORRESPONDENT

SHOULD BRITAIN leave the
t’KC. a Minisrer of Agriculture
would have to ask the Treasury
for £2,U00m a year to maintain
prices and production as they
are in Britain today. This was
the message delivered ay
Christopher Tugendhat, Vice-
President of the EEC Commis-
sion at the Oxford farming con-
ference yesterday. He thousht
that in this instance the
response would be verv unsatis-
factory to farmers and in addi-
tion The British food market
would he subject tn subsidised
competition from their former
partners.

Nevertheless. Sir Tugendhat
said that EEC expenditure must
he controlled. Output was ex-
ceeding demand. The first
attempt was the co-responsibi-
lity levy on milk and this must
continue until supply and

demand became equal The
Commission’s aim of bringing
EEC cereal prices into line with
those on the world markets still
held good. Cereals had done
well since Britain joined the
EEC snd prices had risen much
faster than they had for live-
stock products.

Although the rate of Increas-
ing expenditure on agriculture
had been falling due to higher
world prices it still took up too
much of the Community’s total
budget. Tie discounted the fears
expressed by British farmers
about the national aids enjoyed
by farmers in other countries
by saving that all countries
accused the others of the same
crime. He hoped that with a
common sense approach all
round national aids could be
eliminated.

This theme was taken up by
David Evans, chief economic
adviser to the NFIJ. He
deplored Ihe proliferation of
national aids, particularly by
the French, who were disguising
their latest package under
various social headings. If thus
trend continued, it would
destroy completely the philo-
sophy of free competition
written into the Treaty of
Rome.

He did not think that the
Community should only support
prices up to a certain limit and
that support would then be
given by individual govern-
ments. This would favour the
richer countries and make
farmers in the poorer ones "less
well off. Britain would by
reason of the smaller contribu-
tion of farmer* to the GDP be

particularly badly affected.

Mr Nicholas Horsley, chair-
man of Northern Foods insisted
that the Treaty of Rome was
out of date. It had been
negotiated he said in a context
of shortage and starvation and
not of perpetually increasing
production. Either the CAP
should be re-written ‘ or
abandoned. Tie instanced tbe
futility of 'increasing the pro-
duction of things like butter,
sugar, eggs, and bread while
consumption of these items was
actually falling. Iu fact he said
the only items of increasing
consumption were alcoholic
liquors. He thought that the
future market would be much
more in the direction of
convenience foods and manu-
factured products than anyone
at present even dreamed about.

.

s: :
ir

:w

is: ; ^

V,... t:

£3

;5

i ?•:

■>-?•

. vc 1

' v - !

fj
c t

' V*l! ■

C-il

BRITISH COMMODITY MARKETS

BASE METALS

AMERICAN MARKETS

pric«r moved arntioaNy"
■on tti b . London.' Mvttl' Exchange. Copper
opened higher at. £39 2, Tefecofig ,Dver-
night g«»n» tir tfv« ,-U.S.', aiuf . edged :up .
to. . £894 but. dropped, slwrply w .tbe .
afternoon, to dose at .£880, after £876.
foU owing arzeebla- American and focal
atop4o»s‘ salHn $ Z ) . One '>oae : tp £478.5 ‘
on the continuing at rite 'at Tatar Mines,
but encountered .heavy .profit-taking to
otoee-at £466.5. ..LMd wee frnelly £369.
Aluminium SI 1 JS'; and _ Nickel £2:942.5.

. Tin dosed at "£7.875. - three months,
with.".- tag e amounts of. cash materiel

.being tredad. •

•• .. ' -*r- ’iaji£’ - i4-b?i -pjn. i+o r

COPPER { Official - [Unofffcfatj

months £371.00, 72.00. 72.50. Kert>:
Three: . moheha £373.00. 72.50. 72.00.
Afternoon: Three months £372.50, 7200.
71.50. 71.00/70.50. Kerb; Three months
£368.00, 68.00. 68,00. Turnover. 15.325
tonnes.- -

. TIN

aun. /’+ or ? ' p.nil ;+ o
Official i — r Unofficial -

High Grade C £ ■ . £
Gath- -8300-1 -S5J» 8300-1

3 months) 7870-80-47.5 7880-90 1+11
Settlem't 8301 .-*» • — ] ~

1 £

MW

i+10

*-1«A

+10

I

fHBhOrjdaU

-rj? £ .[ ■: £

Ouh'iL;..! 861.5,9 1-TJ f 888-9
- 3 rnthe 1 890.6-1 --*7! -8e7.fr

. setUeni't
Cathodes
Cash-
.3jrionttiB
Sattl ain't
S. Prod

4-2- •

1+2.86

[+ 5 .-

>2i5-

868 . -1.5

858^9 t— 7.5 j 855-7
886-7. M 883-4

858--I-2

' 7 7-?2_

AmaJgenvahid Mebel' Trading reported;
that in the monung cash W1 rebars
traded et £a59.50, 61.T)0, 61.50.- 62.00^
three months higher grade £890.00.,

89.00. -89L50. 90.00. 90.50/ 91 ; .00. 91.50-

32.00. . 91 ,00. ' Caihodes.'- three months

5555.00. -.Kerh:-.Wflhar g cede, -three:

months £891.00, 92.00.'- BT.50.- After-,
noon;- . -Higher grade, cash £858.00.
E9^Xb. -three month*. £892: 00. 91.50..
90:00, 88.00. S3. 00. 87.00. Kar^:

Higher grade, three - months £886.00,

85.00. 85.50. 85 00, 84.50; 84.00/ 83. (XX

82.00. 8T.00; BO.OQ, 79.00, 70.00, 78. DO..

79.00. BO.OO;. 1 Tunrovar* 24^250 tonne*,

months £7.870. "80. 85. - Turnover;
2J33S tonnes. 1

r - )-- a-m. 1+ or) p.rh. (+cr
i£AO Official T •—Unofficial I . ~

J . .£ -. . -

Oaah- f 557-8 M-25 3S5.5-6.5 ;+4,6

3 monttui 37Sre: i+3.75-' . 370AX +B
Settlemti 'SSS \ • rtM‘ 1 . - — • •{

U^. Spr^l ’ =”£ 3 1 4 - ■■;■■■

/lawt-^MonijnB: ;CtaJh- -£357JW, three

Standard .

Cash ....... 8300 -24.5 8300-1

3 months j 7870-80 -47 J 7880-90
SettlenVt : 8301 —29' —

Straits E. r i*34.10 -0.18 . -

New Yorlc —

Tln-i-Morntng: Standard, cash E8.300,
10, 8^00, 05,' 8.300. three mooch*

- £7,880, : 80. 80, 70. Kerb; Sandord.

. cash £8,250. three 10001110 £7,870, 60.

, Afternoon: .Standard, cash £8,280, 90.
8,300,- 06, 01. tiirae monthe £7,870. 60,

' 65. 70, 80. . Kerb: Standard, three

:m>on«h»( three months £7,870, 80, 85.
Turnover: 2,325 tonnes. '

^ aTm. /4- or, purru” - +0

v ZINC ' '.Official . — ; Unofficial 1 —

•V-"' •' j- £ ■: £- i * 1 *

Oaah,...X ."456-.S +3^ 454-3 +7

. 3 months • 46ft —3,5. 467.5JB ,+7A
.S'ment^i 456- A +33 — ' I .. —

; Mm W' t il — - I *44 -50 1 ......

- ■- Zirro Morrflng; Cash £456.00. three
month! £468.00, .68.00, 70.00. 69.50.

- Kerb:. Three montiur £469.00. Afternoon:

■ Three irnontha, £470.00.. 69.00, 68.00,
-- 67.50. ■ Kerb; Three months £486.00.

65.00. -66.00. Turnover: 12.300 "tonnes.

** > l ’• I

Aluminm : ’ «.m. or; p.m. 4- or
- r Official I — I Uno fficial] —

' '•"■" |77 i". I £ j £ ■ . I £

Spot m*. 589-BO ,-.2fr 387fr ! + I.

3montlwr 61^ 1-1^611^8.3 '+ JS

'■ Alumlhiom— Morning: Three men the
' £012.00. 11;®, "12.00. ' 13.00. 14.W.
Kerb: Three month*. £614.®, 15.®,

15.50. Afternoon: Three months 0515.®,
12.00. Kerb: Three, months £611.®,
10.®, 11®. Turnover: 12,5® tonnes.

NICKEL f a-m. rf-orj p.m. +or
j Official [ — | U non Ida! —

Spot j 8865-70 j+iEJs' 2870-® ; + M

3 months 8940-5 +40 8940-5 +B.7S

Nickel— Morning: Cash £2®6, 70,
three month*. £2,820. 35, 40. 45. 40.
Kerb: Three months £2.945. Afternoon:
■Three months £2,950, 45. 40, 35, 38,
30. 40, 46. 42. Kerb: Three months
£2,925, 40, SO. Turnover: 884. tonnes,
t On previous unofficial close.

* Cente per pound. $ MS per kilo.

LONDON NEW ZEALAND CROSS-
BREDS — Close (in order: buyer, seller,
business}. New Zeeland cent* per Lo.
Jan 364. 370. nil: March 374, 387.
375; May 378. 380. 378: Aug 393. 338.
nil: Oct 396. 390. 397: Dec 404. 408,
406-405: Jjn 4®, 407, 406; March 414.
417/ ml; Muy 423. 428. ml. bales: 23.

GAS OIL FUTURES

The market opened jboul $2® lower
bur ihe swenplli of the physical price
cause a a tally la the lnghe. Heavy
U.S. commission house selling lulled
to push iho market down, reports
Premier Man.

SOYABEAN MEAL PRICE CHANGES

"Dm m:nk6t nfitmed slightly higher
on commercial pricin'] on nearby
positions, reports T. G. Roddick. Pncea
remained m a narrow range and drifted
at the L-loce.

lYtsterdye 1 +■ or “eusltiMS -
j Close . — j Done

In tonnes unless otherwise stated.

Month

[Yasterdys
! -close 1

+ or Business
— I Done

* ; i

iper tonne 1

February../ 12B.i>0-2/.1 +0.11 127.8837.00

April 139.10 29.9 ! 1W.70-W.M

June 1I8.2U-29.I +D.0S 12S.4U-29.00

August. [ IW.OO J1.0 — Q.li

October. HD.59-5S.0 +0.2j —

Dec. ; lil.M-SS.O +U.&0 —

Feb • fJJ.flO-J/.a +0.5fl —

bales: 113 <1K>) lots ol 1® tonnes.

. Jan. 6 ‘ +or

Month

| 1982 ! —

l

ago

Metals !

Alumintu m £810 <bi 6

£810/815

FraaMkt. 51120(1149

SllkO.lbO

SILVER

Silver was fixed 7.9p an ounce
higher for spot delivery m the London
bullion market yesterday at 425.4p.
U.S. cent equivalents ol ihe lining
levels were: spot 815.5c. up 9.3c;
tiiree-mcnlh 842.6c. up 8.9c: six-month
876.7c, up" 11.4c; and 12-month 938.2c,
up 11.3. The metal opened 4£3-427p
(815-820c) and closed at 436-440p
(836 -841c).

S U.S.
per tonne
536.76 )
32135 |

314.50 I

308.50 .
308.® j
308.00 ,
308.00 ;

306.50 !

308.50 •

SILVER

per

troy oz.

Bullion
- fixing
price

+ or

L.M.E, j+or
p.m. ! —
Unolfic'l j

Spot

3 months.
6 month*.
18 mo nth*

kS5.40o
441. SOp
459.50 p .!
4 92.40 p ,

as

*9.5

+1-4

433.5p i+ISJO
|44B.lp j+14.4

January-..,

February— |

March— —j

April • ■••■•Hi!

May

Juna.

July

August ;

Sept.

Turnover: 1,440 (1.291) lots of 1®
tonnes.

+ 1.75 328.75- 25.00
+ 03U 522.D0-IS.DB
+ 1.00515.00-11.75
+ ti.75iS08.BD08.D0
+ 1.00 50S.N.06.00
+8.00 S08JM 25.50
+ 5.50

+ 8.00, —

+6.50

SUGAR

Copper

Cash h grade.-

3 ivuria

Cash Cathode-

3 mths

Bold . ray oz....

Lead cash.

3 mtha—

Nickel —

Free mht

EB58.5

£867.5

£656

4663.5

S4UP.5

4356

£370.76

85/37.75

265,890*

+2 £874.5

t2.2o £696.25
t3 £870.0
't2.5 £650.25
+ lfi 8+16.5
+4.5 £342.25
i + 5 £352.25

£3873,69

+ 2.5 840/SOc

GRAINS

LME — Turnover 55 (1M) lots ol 10.0®
ounces.. Morning: Three months 441.5.
42.0. 41.5. 42.5, 43.0. 42.5. Kerb: three
months 442.5. Afternoon: three months
454.5, 54.0, 54.5, 49.5, 50.0. Kerb:
three months 448®.

The market opened slightly higher
on old crops and unchanged on new
craps. Commission house and shipper
buying kept barley steady. New crops
found good commercial support. Acli
reports.

WHEAT

BARLEY

COCOA

A NEW RANGE OF

COMMODITY

SERVICES

—

> Bcidiange prices, prices contributed by market K
* makers, sialisfcs, news.and foreign exchange l

tsAeS'-r- [ '

metals grains/oilseeds

COCOA RUBBER
COFFEE SUGAR PETROLEUM

Fnrfrirlher.defails pteteeialephona John Rob erts &i London
01-25V74S5or contact-
your Iccal Reuter bffics.

Wartdm

Futures, opened £20 higher as due
against New York's close and then
steaded further ss fresh commission
house and chartist buying caused
prices to move Ilmit-up. Trade hedging
of modest producer sales caused values
to close off ’the highs, reports Gill
and Duffua.

COCOA

YssfrdJty'st + or [ Business'
dose — Done

March 1212-14 1+44.51 1218-82

May 1206-08 1+53.5; 1212-83

July 1212-15 +30.0 121991

Sept 1225-88 +35.5; 1230 03

Deo...™— 124044 [+35.5; 1245-14

March - 1245-54 1+35.5 124&47

May..../ 1250; 82 _[+3S_0!_

Sales: 4.326 (1.499) lots of 10 tonnes.
ICCO— Daily pnee lob Jan 5: 101.50
(9892). Indicator price for Jan G:
97.23 (95.87). U.S. cents per pound.

COFFEE

A firm close in New York and weaker
Sterling failed to have any significant
impact on fl disappointing opening,
reports Drexel Burnham Lambert.
Values remained fixed in a narrow
range for moat of the day.

jYesterd'yei +or Yesterd'ys + or
Mnth close _ — ; close > —

Jan—! 208.70 l+o. 104.46 i+O.SS
MATw. 112J10 * + 0.16! 107.70 +0.45

May.J 115.55 !+0.11>l 111.00 1 + 0.55
July..! 11B.70 1 + 0.10 - j _

ssp... 107.10 +0.40, 102.20 +0.55

Nav... 1 110.76 1+0.40 106.20 1 + 0.75

Business done —W heat: Jen 108.80-
1®.55. March 112.15-112.®. May 115.55-
115.40, July 118® only. Sept 107.10-
106.70, Nav no trades. Solos: 82 lots
of 1® tonnes. Barley: Jan 104.45-1®.®,
March 107.70-107®, May 110.95-110.75.
Sept 1®. 20-101 .70, Nov 106.20-105.70.
Sales: 142 lots of 1® tonnes.

LONDON GRAINS— Whsat: U.S. Dark
Northern Spring No. 2 14 par cent, Jan
115®, Feb 117.25, March 118® tran-
shipment East Coast. English Feed fob,
Jan 112.50 Bristol Channel. Maize:
French, first half Jan 133® tranship-
ment East Coast. S. African White/
Yellow, Jan 83. Barley: English Feed
fob, Jan/March 111 East Coast. Hast
unquoted.

HGCA— Locetionsl ex-farm spot prices.
Other milling wheat: S. West 1®®.
Feed barley: S. East 1®®, S. West
104.30. W. Mid*. 105.50. N. West 104.60.
The UK Monetary Coefficient for the
week beginning -Monday January 11
fbased on HGCA calculations using
4 days exchange rates) is expected to
remain unchanged.

LONDON DAILY PRICE— Raw sunar
£159.00 (£153.00) a tonne cif Jan-feb
shipment. White sugar daily price
C166.M (£109®).

No. 4 Yesterday, Previous ■ Business
Con- : close 1 close [ done
tract ■

£ per tonne

March. 167.45 G7.50 lHB.Sb B3.0fl 159 Jb.6fl.B0

May ,109.40-69.45 170.60 70.80 17150-03.25

Aug ;i7i.OO-7SJ!b. 174.50-74.75 175.00 72.50

Oct. 17B.7b-77.2b 179.50 78.60 173.7b-7G.50

Jan 177.00-78.25 T79. 10-78.90 -

Marc. i. 182.76-85.00 1 84.75-85. 00 1 45.00-85 Jtb
May 185.75-85.00 (86.10-60.00 104.50

Sales: 4,396 lots of 50 tonnes.

Tate and Lyle deliveiy prias for
granulated basis white sugar was
C374.00 (same) a tonne lob lor home
trade and £263 50 (£373.®) (ar export.

International Sugar Agreement (U.S.
cents per pound) tub and stowed
Caribbean pons Prices tc-r Jan 4:
Daily price 12.57 (13.01): 15-day

average 13.16 (13 18).

Piatln'mtr'y oz£199.4o 1

FreemUt £201.30

Quicksilver! ... 3410/4 la
Silver troy oz...+2b.*0/!

3 mins 441.b0/»

Tin Catii £8,300.3

3 mths JL7,865

TungswiiftLD lb 8127.40

COTTON

LIVERPOOL — Spot snd shipment
sales amounted to 1® tonnes. A Kids
more inieiest was shown in cpecielisi
growths, but standard quslrites moved
off slowly, opait Irom certain African
styles.

Wolf rm 22J14 lbs 8120il2b |

Zinc Oath £464.6 ,

3 mtha £467.75

Producers -..8950
Oils

Coconut (Phil). $54£.3y

Groundnut ;

Unwed Crude :

Palm Malayan., 8490z
Seeds 1 .

Copra Philip.... 334b
SoyaboamUJS.) 8856
Grains

Barley FuLMar £107.70

Maize 4:133.®

Wheat Fut,Mar,£ nz Jio
N 08 Hard Win:! l__
Other

commodities:

Cocoa anlp'f £1259
Future May ;£12Q7
Coffee Ft* Mar £1147.5
Cotton A. Index 1 68. 751-
Gas Oil Feb. ..'8321J9S
Rubber tlUlD)...|49p
Sugar (ft&w).... iS9y
Woolt’psMe Kl.|377y kilo,

'£250

+ 6.3 £217.35
-2.5 842DM 1
t7,B 454.905
+ 8 .U 469,80p
—14.3 £U362.p
+ 10 ££417.5

-7,fl8 8137.38

S124H29

+ 7 £423.0

+ 7.6 £433,25
18980/60

-7.5 8567.50
S766

|-5p""!WB2.5

1 8350

+2 jtf265

+ 0.45'£1 07.10

£128.5

+ D.15 £111.35

I *

+ 40 £1,828
+ «.3i£U4Z
+4 j£l 107.5
+ 0.96,67.85c

+ 0.2&‘fc32Q

- &

_.|370pkilO

NEW YORK. January 5.
COPPER sold off sharper due to
arbitrage selling as sterling waskansd.
Cocos advanced on repons ort addi-
tional buffer stock purchases. Cofiee
prices rases on active ratter buying.
Cattle markets were mostly lower on
steady cash markets while the pork
complex v/aa higher on anticipated
lower marketings. Grains and soya-
beans were moderately lower following
d i« appointing export inspection fig urea,
reported Heinold.

Capper— Jan 72® (74.25), Feb 73 40
fra.M). March 74.20.74-3, May 75 90-
76.05. July 77 .£5. Sept 79 25. Dec
81.85, Jen 82.70; March 84.25, May
3€.C0. July 87 EJ. Sept £9.25.

potatoes (round whites) — Feb 70.0-
71.0 (70 0). MHtch 72.0-75.5 (74 6).
April 79.7-®. 1. Nov 75.5-77.0. Sales:
280.

9311 var — Jan 833.0 (823 5), Feb 840.5
(820.8). March 847 .0-850 0. May 868.0-
871 .0, July 888.0, Sept 9C8.9, Dae 929 2.
Jen 949.5. March 969.8. Ma>» 990.1.
July 1010.4. Sept 1020.7. Handy and
Harman bullion spot: 825.® (802 TO).

Sugar— No. 11: March 12.80-12.81
(12.74). May 1395-12® (12.90), July
13.17, Sep; 12.40-12.41. Qct 13 62. Jan
13.65-14®, March 14.27-14.25, May
14 40-14 60. Salas: 9.550.

Tin— €80. 00- 720. DO -(E8S.00. 710®).

CHICAGO. January 5.

Lard — Chicago loose 18.25 bid /I £.50
offered (18.25).

Live Cattle— Fab 68.60-56.70 (56.15).
Apnf 55.47-55® (55.97). June 56.55-

Monday’s closing prices

NEW YORK, January 4.

ttCacoa — March 2143 (2054). May
2146 (20®), July 2153. Sept 2162,
Dec 2197. March 2217 Sales: 5.4®.

Coffee — "C" Contract: March 142.25-
142.45 (139.71), May 136 25-137.®

(133.63). July 123®. Sept 130.OT-
130.40. Dec 127.00-127®, March 125.50-
126®, May 124. 00- 125. GO. Sales: 2.300.

Cotton— No. 2: March 65.35-G5®
(C4.27). May 66.70-66.75 (65.70), Juiy
68.20, Oct 70.10, Dec 71.10. March

56.60. Aug 55 40-55®, Oct 54®. Dec
56.®

Live Hogs— Fab 42 80-43.95 (43.B2).
April 43.4*3 -43.30 (4i 25), June 48.25-
46 20. July 47 27, Aug 48.35. Oct 44®,
Dec 45 55, Feb 47.40.

tIMeizo— March 272V273 (272M.

May 32* (283). July 287V288, Sept
290. Dec 294VJ94‘i, March 3051,.

Pork Bellies— r’eb 61.20-61.45 (60.67).
March 61.90-61 SO (60.97). May 62.50-
62 55. .Inly 63.85-84®. Aug 63®.

t Soya beane— Jan G1BV6171, (81710.
Much 821-629 (630). May 643^ July
655 , ,-656‘j. Auq 658. Sept 658, Nov
6C2. Jsn 677, March 693.

*- Soyabean Meal— Jan 186.3-186.4
(18G.4). March 187 4-187.0 (187.4). May
iaa.B-189.0, July 191.0, Aug 191.5-192,0,
Sept 192.0. Ort 192.0. Oftc 198.0.

Soyabean Oil — Jan 18.56-18.59
(18.62). March 19.14-10.13 (19.20).

May 19 74. July 20 32. Auq 20. 50- 20. 5*5.
lopt 20 .73-20.75. Oci 20.95. Dec 21.25.
Jan 21.20-21 25.

tWheal— March 391>,-390>, {390V ).
May 400-400*} (400",). July 405-404*,.
Sept 417, Dec 434i,. March 44fli,.

WINNIPFG, January 5.
(Barley — March 125.70 (125®). May
129.20 (129®), July 130®. Oct

122.70. Dec 134.®.

All cenis per pound ex-warehouae
unless otherwise stared. *S per tray
ounce. 1 Cents per iroy ounce.
it Cents per 56-lb bushel. f Cents
per GQ-ih bushel. || S per short ion
17,000 lb). S Span, per metric ton.

5 par -1.0® sq ft. I Cente per
dozen, tt S per metric ton.

72.35-72®, May 73.10-73®. Seles:
5.2®.

Orange Juice— Jan 115.10 (117.20).
March 118.75-118® (120.75). May

120.60. Juiy 122.40-122®, Sept 123.80-
123®. Nov 125®. Sales: 1.0®.

CHICAGO. January 4.
Chicago Imm Gold — March 413.0-411 5
(406.2), June 435.4,424.5 (419.2). Sept

439.0. Dec 453.3, March 468.1, June

483.1, Sept 498.3.

EUROPEAN MARKETS

POTATOES

COFFEE

r

estarday's,

Close

per tonna<

1 + or i&uavnssa
H — Done

RUBBER

Jah j

March.

May .....

July I

Sapt.. 1

January,.—;

.1154-56

1)47-48

1125-26

1118-20

1113-16

1111-13

1104-15

1 +4.0 1161-51
[+4.0 11152-43
1+4.0 1113223
+ 5.5 11125-18
+6.0 ,1120-13
+ 8.0 >1103
'+5.5 . —

SaTes: 2JBG (1.340) low. o( 5 tonnes.
ICO indicator prices (or January 4
(U.S. cents per pound): Comp. Daily
125.19 (124®); 15-day average 123.14
(122.96).

WOOL FUTURES

SYDNEY GREASY WOOlr-Cloae (m
order: buyer, antler, business)- Aus-
tralian cents per kg. March 466,0,

499.0, untraded: May 5«.a 506.0. ^ un-
iradod; July 515.0. 517.0. 517.0-515.0;
Oct 513.0, 615.0. 515.0; Dec 518.0.
519.5 518.0; March 525.0, 527.0. 527.0*
526.0: May 529.0, 530-0, 530.0: July

530.0, 540.0. umraded. Sales: 39.

The London physical mBrlet opened
about unchanged, attracted little
interest throughout the day and closed
dull. Lewis and Peat reported a
January fob price (or No. 1 RSS in
Kueia Lumpur o( 198.5 (199.0) cants a
kg end SMR 20 176.5 (175.5).

No. 1 [ YeatVys ! Prevlout 1 Buaineu
fLS.S. 1 close I dose ' Done

Feb. I

Mar.

Apl-Jne.,
Jly-Sept 1
Oct-Dec;
Jan -Mar

Apf-Jn«.!

Jly-Sept;

Oct-Deel

49.N-50.U;

60^8-60.40

62.M-62.4fl'

5530-55,60,

H.7D5S.80

81.90-62.00

Et.90-ffi.IH)

88JW-68.I0

71,00-71.10:

50.10- 50.9)- -

60.60-50.98 . 60.20
62.60 <62.70 52.80-52.20
55.Bfl-55.80 6B.OO-65JO
58.70-68^0. 69.10-58.60
B 1.90-82. ID' 62.30 '

64.00-65.211 S4.9D
87.90-60 J!0i 61.00

71.10- 71^0: 71.1fl-70.M

Salas: 167 (343) lou of 15 tonnes..
1 (IBS) lots of 5 tonnes.

Physical closing prices (buyers)-
were spot 49-OQp (same); Feb 51-®p
(same); March 5l.OOp (same).

LONDON POTATO FUTUREfr-Poor
weather forecasts kept buyers in the
market, with April showing gains ol
£1.70, before late profit Hiking trimmed
gams, repons Coley and Harper,
Closing prices: Fob 94.20. +0.20 {high
95®, low 94®); April 115®. +0.70
(high 116.00. low 114.60); Nov 67.20
unchanged (67 20 only). Turnover: 073
(416) lots ol 40 tonnes.

MEAT/VEGETABLES

SMITHFfELD— PencB per pound. Beef:
Scottish killed sides 84-5 10 89.5; Ulslef
hindquarters 100.0 10 W4 0, lore-
quarters 62 .S to 65.5. Veal: Dtiieh hinds
snd ends 139.0 to 145.0. Lamb: English
small 76.0 to 87.0, medium BG.O 10
85.0; Imported: New Zealand PL (new
season) 68.0 to C9.0, PM (new season)
6S.0 to 69.0. YLs (old season) C7 0
to 67.0, YMs (old season) C7-.0 lo G7 0.
Pork: English, under 1® lb 43.0 lo 5E.S.
100-120 lb 40.0 to 56.0. 1M-1C0 lb 42.0
10 54.Q.

MEAT COMMISSION — Average far-
slock prices at reprasenianva markets.
GB— Carcle 200.22p per kg Iw (-2 98).
UK— Sheep 184.43p per kq «t dew
(-10 24). GB— Pigs 76.74p per kQ •*
(-5.59).

COVENT GARDEN — Prices far the
bulk of produce In sterling per
package except where otherwise slated,
imported- Produce: Oranges— Moroccan;
Navels 48/113 3®-3.50: Spania:

Navels/Navelinas 42/130 3.M-3.40;

Jaffa: Navels M/144 4.85-5.35. Clemen-
tines — Span in: 3®; Moroccan: 6‘s
3.30-3.40. Satsumnc — Spania: 3.30-3®.
Lemons — Cyprus: 3®-4.®; Italian 60/
1® 3.50: Graak: 5®-6®; Spani?:
40/® 2.40-2.50. Grapefruit— U.S.: Pink
32/48 6.00-7.00; Cyprus: Large carrons
3.60-4.50. small canons 2.80-3 40; Jaffa:
36/88 3.80-4.56. Apples— French: New

t Unquoted, w Dec-Jan. z Feb. y Jsn*
Feb. t Per 7fi-lb flask. • Ghana cocoa,
n Nominal. § Seller.

crap. Golden Delicious 20 lb 3.00-3®,
40 lb 5.00-7.50, iurk.Lt ini son 40 lb 6.50-
7.QJ. 20 lb i.40-J.2(J. Grjnny inirtft
7.M-E.50: Canadian: Rad Delicious 9.OT-
11®; U.S,.: Red Delicious 8.0Q-1 J.OO;
Hungarian: Slarking 6.C0-7.M. Pure —
DuilIi; Comice 14 lb, per pound 0.24-
0 26. Peaches— S African: 4®.
Nectarines— S. African: 18/28 5 M-6.00;
Chilean: S3'48 B.CO-9.50. Plums— U.S.:
Per pound 0.30-0.40: Chifeun: Santa
Rosa 17 lb, per pound 0 90 Apricots'"
— S. African: 11 lb, par pound 0.50-
0.55. Grapes — Spanish: Almaria 11 lb
3.00-2.80, Nflgra 4.E0-Q.00; S. African;
Queen of the Vineyard, per pound 1.®;
U'J.: Red Emperor 0 45; Chilean:
Seac/feg* per pound 1.20. Strawberries
—Israeli: Per 8-oz trey 7.50-6®: New
Zealand: 1.20-1.30; Kenyan: O.fiO-O.90;
U.S.: 12 oz 1.50. Litclwee— 5. African:
0®. Melons— Spanish: 10 kg 5.0D-B.00,
15 kg A1 10.50-11 .00. Pineapples—
Ivory Coast: Each 0 40-1.00. Bananas —
Colombian: Per pound 0.1 B. Avocados
— U 5.: Large box 5.50-6 .00. email box

2 50: Israeli: 3.60-4.20; Canary- Urge
box 5®. small box 2.50-4®. Mangoes
—Kenyan: 8/16 4.50-5.00; Peruvim:
8®. Dates — Tunisiln: 20‘s 0.50-0.60;
U.S : 0.41-0.44. Tomatoes— Spanish:

1.50- 2.50; Canery: 1.50-3.00; Maroccen:
1.50*1®. Onions— Span 1 ch : Granp 3/5
5®. Capsicums— Dutch- 5 kg, rad
10.05; Canary: Green 3.M-3.50, rad
5.50; Italian; Green 3.00: Israeli: Red
6.50, Cabbages— Dutch: White 3.50-
4®. red 4 00-4.50. Cauliflower* —
Jersey: 24’s 12®. Celery— Israeli:

4.50- 5®; Spanish: 4.50-5.00. Carrots—
Dutch: 22 lb 3.20-3.40, pre-packed 2.80;
Italian: Per pound 0.10-0.12. Lettuce—
Dutch: 24'a 2.M-4.B0. 12'-; 3.20 3.40.

‘Cucumbers — Canary: 2.00-3®. Chicory
— Belqian: 3kg 2.20-3®. Endive-
French; S®. New Potatoes — Canary:
28 lb ware 5®, mids 5®: Italian:
Per pound 0.15-0.16: Jersey: 13-lb tubs
ware 1®, mids 1.40-1.50; Cyprus: 5®.
Artichokes— Eqyoiian: 7.®: Spanish:

3 50-4.00. Aubergines — Canary: 5.00-

ROTTERDAM. January S.
Wheat — (U.S. S per lonne): U.S.
No. 2 Dirk Herd Winter, 13.5 per cent:
■Ian 190.50. Feb 193, March 202, April
205. U.S. No. 2 Red Winter: Jen
173. Feb 174, March T77. U.S. No. 3
Amber Durum; Spot 197, rmd-Jan/mid-
Feb 209. Aprif/May T95. Jirne (57.
U.S. No. 2 Northern Spring, 14 par
cent: Jan 138. Feb 2®. March 204.
AprJ/May 191. Canadian Weaiern
Red Spring; Jan .221, Apnl/May 220.

Maize — (U.S. $ per tonne): U.S.
No. 3 Corn, YaHow? Spot 132. Afloat
125. Jan 123.50. Feb 125, March 127,
April/ June 130, July/Sept 133. Oct/Dec
137.

SoyabeuiB— (U.S. S per tonne): U.S.
No. 2 Yellow, Guflporre: Jan 249.50.
Feb 253®. March 256.25. Aprd 257.50,

May 259®. June 261®. July 262.75.
Aug end Sept 264. Oct and Nov 263.25,
Dec 267®.

Soy a meal — (U.S. S per tonne), 44
per cent protein; U.S. Afloat 233, traded
Afloat 233®. Jan 234®, Feb 235.
March 236. Aprif/Sepi 236, Nov/March
243 seders. Brazil Petieu: Afloat 244,
Jen/MBFCh 253. Apnl/SBpi 244 sellars.

PARIS, January 5

Cocoa — (FFr per 1® kilos): March
1304-1305, May 1306-1310. July 1330
bid. Sept 1345-1360. Dec 1370-1380.
March 1280-1390, May 1390-14®. Sales
at call: 18.

Sugar— (FFr per tonne): March 1855-
1857, May 1893-1858, July 1915-1935.
Auq 1960-1970. Oct 1980-1990. Nov 1980-
1990, Dec 1995-2005, March 2010-2050.
Sales at call: 16.

INDICES

FINANCIAL TIMES

Jan.4 ( Dae. 31'Montii ago Year age

299.08 2AB.97_l_M7.89_l 265.97

(Base: July 1. 1852-100K ”

MOODY'S

DOW JONES

DOW I

Jan.

Dec.

Jones

4

30

ego ago

sput iiN.Vi 491,3 D

Fut.ral2S.87 363.79 371.1B466.18
(Average 1924-25-26-1®)

REUTERS

Jan. 4 Dec, 30 Month age; Year ago Jan. 6 ;Jan. 4 <M'nth agojYcar ago

1604.6 ! 1604.6; 1601.0 I 1739. S

(Base: Sepiambar IB, 1931 -100)

_B77.5j 968.0 j 984.9 |_1333.b_

(December 31. 1931-100)

5.50: Israall: B.sl; “U.S.: 10.®. Walnuts
—Chinese: Par pound O.44-O 45.

English Produce: Potatoes — par 53 fb,
white 2.M-3.S0, red 2.80-3.60, King
Edwards 2 80-4®. Mushrooms — per
pound, open 0.3041.40, closed 0.55-0 70.
Apple*— per pound, Bramfay 0.18-0.28,
Cox’a 0.20-0.28, Ruseflta 0.18-0®,
Spartan's 0,20-0.25. Pears— per pound
Conference 0.14*0.21. Comice 018-
0.2S. Cabbages — per 30-th bag. Celtic/
Jsn. King 2.00-2. aO. Lettuces — per 12,
round 1.60^.40, Onions — pai 66 lb

40/80nun 2.00-3®. Carrots— per 26/28
lb 1.50-2 30. Beetroots— per 26 Hi.

round 1 20, long 1.50-1®. Parsnips —
per 2S lb 2®-3®. Swede*— per net
1.20-1.40. Sprouts— per 3D lb 2.00*2,60.
★

GRIMSBY FISH— Supply poor, de-
mand good. Prices at ship’s side
(unprocessed) per stone: $p*H cod
£3 00- £5- 90. oxflings «.«.«.«. Large
haddock C2.60-E5.60. Medium plaice
Ct.OO-K 20. Rockflsh Cl 4O-E2.D0. Rada
LI 40-E2 ®. £a,the C3.90.

Companies and Markets

LONDON STOCK EXCHANGE

Financial Times weaneso*? -

recent issues

— EQUITIES

US influences affect markets but Gilts and equity
laadarc rpH.ire falls after UK banking statistics

!«• 1 ■’.fisUEiJ Stock !l|aMs!5|^J2|SS

mice §3»\5i| — ~ j a*, --a IFS; 0 -^ .

* ^£5£°:hi 9 ii , lo«!__ i_l — ! Ul — U .

‘ ' 1 ^ iS3S I 156.0

- F.P, 4/12.090 ,779 *GKt5TII | | -J-J- ’

f>: - * tz

^IbOfi usj ajilsu

3 ibS.lSl 3JSfl2JHHJ7V
■t ItHil 3,6! OA 6.1

Account Dealing Dates
Option

•First Declara- Last Account
Dealings tions Dealings Day
Dec 23 Jan 7 Jan 8 Jan 18
Jan 11 Jan 21 Jan 22 Feb J
Jan 25 Feb 11 Feb 12 Feb 22
* " New tin*a " doaUnga way take
place from 9.30 am two busmens (W
earlier.

U.S. influences in the shape of
tie latest unexpected sharp in-
crease in money growth, w ' h,r 5
led to weakness in the wma
market there, and a leadin*
analyst's prediction that Ameri-
can long-term interest rates
would this year threaten their
1981 peaks had a marked effect
on London stock markets jestRT-
dav Both main investment
sectors displayed nervmsness
with Government securities faff
ina a point and leading shares
sustaining double-figure Jesses
prior to rallying late D»HowJn«
receipt of the UK December
thanking statistics.

The Gilt-edged market seemed
especially uncertain. After
opening * easier, dealers en-
countered nervous selling wh-oh
took its toll at both ends of the
market. Many
issues soon showed falls of a
point and the short tap.
Exchequer 14 per cent 1988.
was nearly that much down at
one stage. No rallying tendency
developed until the 2.30 pm an-
nouncement of December a rise
of qnly i per cent in sterling «w-
This was much smaller than
expected and longer quotations
immediately recovered arminn
half of the earlier falls, hut the
shorts made only a tentative

Impromnmt nd Cosed with

‘"Sa'hSd'S* L worry! nis

industrial relations

ovnecta lions that Wall Street
Sid react adversely to the sjr-
nrise jump in money growth.

announced after Monday’s close,
leading equities also weakened.
Popular Electricals led Ihe
decline and GEC felt to ROOp
before closing a mere 3 down on
halanpe at SOSp. Oils, too, were
sold initially by investors wary
of the downward pressures on
crude oil prices, hut in this
sector also final losses were
negligible.

The FT Indus! rial Ordinary

share index measured the coiv

tinued easiness with a fall of S-i
at the throe counts from noon
until 2.00 pm. An hour later.

after release of the UK banking

fi-urev it recorded a decline of
4 g and this was finally trimmed
to 4 2 at the close of 51S.1; con-
firmation of sharply lower New
Y-oric values In yesterdays early
trade had little or no impact on
sentiment

Demand for Traded options
continued Lo improve and l.wi
deals were arranged yesterday-
1542 calls and 815 puts. British
Petroleum recorded 345 calls
and the same number of puts
while Imperial returned lo the
fore with 2&i calls completed,
lit in the Fehruary 70s and 100
in the February SO’s.

Banks doll

Reflecting the liquidation of
speculative positions in the
absence of hid developments.
Bank of Scotland fell 10 to 49Sp,

6 Cheaper for a two-day fall of

11 to 144p. Elsewhere, the trend Estates, down 22 or

JlL IU J.TT^. WO _

was again to lower levels, but
Anderson Strathclyde. fflJJ
takeover favourite, encountered
spen.lari^demniam 1 cksrf *

SSSf , w B SSJp %£

M W Md _«t ISP- ■■££

5.412JS

OAilLl

hST^r'iter TKw* {j-™, 7=

300n up 10. and Vosper, 5 to the Town aiid City, shed S

Bond at 140p. also moved against D ’ a JgL ^ t & C 5 easier at
the trend, while HaMte BoWmjj g 33 ^ ar i t0 n Real Estates were
the subject of an abortive ca.h P ed at jgi p ex the nshts issue
offer worth 19hp P? r «JL fl fol* with the new nil-paid shares at
General Tire, rose fi t<i 1»P ™ ‘ premj - um .

Jowinc news that Uie I/tter had IP P™

FIXED INTEREST STOCKS

JOWUIU nrnj

acquired a M £

20Pn per share in naiiue

bring its holding to 2S.5 PjfGJJJ*

United Engineering. in
met fresh offerings and “P

7 more to 253p. . Falls of 4 were
marked against.

Oils above worst

Oils remained friendless. Early
offerings and lack of support
prompted fresh dullness, but a
subsequent rally left most quota-
tions above the day’s worst BP

^Jfisls! 1 “ MI ‘ j Stuck u\r

pri “ ■ §1 as-a- li i

TO fivi _ ; 73 I 54 rno. 15k! pc. Um. .1986......... 2" 1 T*r ,

r

is r

l

Halt ere lev- 17Sp. B-* Elliott. Mp, “° ded 6 off at 302p, after 300p.

and S!aveley, 216p. DisappoioDnS whiIe ShelU the subject , of a

,_x. Uaurfpn recem broker’s favourable
circular, closed unaltered at

ana Siaveiey,

interim results left Howoen
Group 2 cheaper at 150p, while

Group 2 cneaper Circular. cidm;u

Redman Hecnan dosed a penny m after 3gs p . Lasnw fell IS

. . .c_ ,(!ar thp full > inhmwM in In J77n.

FINANCIAL TIMES STOCK INDICES

Govarnmerrt Saeuu... i B1.89; 68.34'. 6257; 62.36 63.37: 62.01

Fixed Interest : 62.83! 63.18; 63.12: 63.11 ! 634» 63.0,

Industrial Ord..— J 518.1; 882. » 650.4j 588.3 : 624.0 518.

Gold Mina. j 502 .0| 301^ 307.5; 308.9 310.3 318

/w niw Yield 6.76, 5.73! 6.65^ 5.67 5.70 5.7

62.57: 62.0H 88^3
65J30 63.0aj 70.54
524.0 518.1; 472.9
310.3! 318.7j 410.2

Ord. Dlv. Yield I 5.76, 5.73; 6.65j 5.67; 5.70| 5.7B 7.64

Earnings, Yld.J ifillDi 10.12: 1D.0S 9.81 B.95 10.04) 10.16 1637

PIE Ratio (natH*) I 18321 12.70^ 12.88, 1234] 12.72| »K 737

Total bargain*. . 16.590, 13,503; 11,428; 0,140! 8.28U 9.3011 17^84
Equity turnover £mJ - | 66.19 43.7B 1 66.46 j 36.4l| 50.86 70 09

Equity bargains-...-.' _ r .! 10.67V Bfiir. 8,612 1 6.578 4.187,13.646

10 am 521 O. 11 am 516 0. Noon 614.2. 1 wn 514.2.

2 rnn 514.2 3 Dm 517.8.

Latest Index 01-246 8025.

• Nrt =*11.27.

Bean 100 Govt Secs. 15/10/26. F.xed Int W23. Industrial Ord.
1/7/35. Gold Mines 12/9/55. S£ Activity 1974.

after 495p. Awaiting the Mono-
polies Commission's decision on
the rival bids from Hongkong
and Shanghai and Standard
Chartered, Royal Bank or Scot-
land shed 9 to lS6p; SC gave up
13 to 663p and HK a couple of
pence to 129p. Home banks
continued to drift lower on
sporadic offerings and lack of
support. Midland lost S to 34Gp
and Barclays 7 to 445p: the
major cl carers have agreed to
buy. for £51m, the ■International
Comm odi ties Clearing Hnuse.
the clearing hnuse for London's
soft commodity markets. Irish
issues came on offer with Bank
or Ireland down 10 at-250p and
Allied Irish 6 off at 94p. Dis-
counts eased in sympathy with
gilts: Cater Allen declined 1(1 to
305p as did Union* to 400p. Else-
where, Guinness Peat eased to
S5p before clnsing a net 2
cheaoer at 88p on reports that
the Stock Exchange is studying
the movements in the shares
before the announcement that a
partial offer might be made for
the company.

Fears that dam ace caused hv
recent stnrms could have cost
the insurance market E50ro
prompted nervous selling of
Composites which retreated
from the start. Prices doped a
few pence above the dav's
lowest, but Sun Alliance si ill
sustained a fall of 14 to Sl fi o.
after 81 2p, while Eagle Star shed
7 lo 31 8p and General Accident

general trend and clospd
virtually unchanged. House-
builders Barratt Developments
closed 5 cheaper at 210p; Stan-
dard Life Assurance now has a
5.2 per rent stake in the com-
pany. Fresh interest waa shown
in Wiggins Group which put on
3. to a peak of 90p. while the
appearance of a single buyer m
a market short of stock hftea
Feb International 7 io SSp.

ICI, down to 2S4p a l one stage
on light selling, rallied to close
unchanged on balance at — v>p-
Fisons finished just a penny
cheaper at 152p, after 14Sp.

Leading Stores turned dull,
although 'some finished a shade
above the day's worst. Motber-
care came under renewed pres-
sure awaiting ne*t week s share-
holders' meeting to vote on the
proposed merger with Habitat
and gave up 5 more tD 155p:
Habitat recovered from an
earlier 110p to close unchanged
at 113p. A reasonable two-way
trade developed in selected
secondary Issues. Cornell
Dresses reacted to revived profit-
taking and closed 8 lower at
155p. Pnlly Peck fell 10 to 345n.
while Wearweli eased a couple
of pence to Mp with the nil-paid
a similar amount off at 4p pre-
mium. Sellers also held sway in
Tern-Consnlate, 4 down at 55n.
hut H. Samuel, interim results
due next Monday, added a couple
of pence to I02p.

Dull conditions prevailed in
F.iprtricals where the leaders

hcnraau

lower at 46 p after the Jill
report. BtnnM remained nn offer
ai 23p. down lip. and Brockhouse
gave up 3 to 29p.

to 405p and Ultramar lb to 477p*
while Burmah ended 4 cheaper at
I20p. Unsettled by the sale of
the Baron Oil and Gas Company

Itoo -F.P.
tioo F.P.

69 ,F.P.

70 !f.p.

100 • Nil

ire ** K 6M -"I ■ LIIC P8IUU Vfii " * i"

Leading Foods generaUy met following disappomttng resnl^

MMUinc * ““““ « — , .

light selling and eased a shade.
Elsewhere, revived speculative

from the subsidiary. KCA Inter-
national fell 6 more to I22p.

“RIGHTS” OFFERS

interest 6 in a thin market lifted Reflecting receirt_ adveras Pres
Bernard Matthews 10 to HOp. mention. Doable Eagle weakened
Bcrna g to 40p and Warrior Resources

Bernard Matthews 10 to HOp.

T W Ward better 10"tn the same price.

- 1» “ssse?* as aj*«SL si .ts^ »s

rejecting RTZs _180p per snare moved against

Latest

Renuno- 1981/2

Stock-

High | Low

|Sa !+or

I"

srsftKfitf.ffK

jumped S to 54p on speculative firmer

buying fuelled by hopes that OOluS Ilrllier
Fanavision Windows Ltd. and the South AJ rican Golds put on a

associate Pickles of Paislw brighter performance,

might launch a bid. Reports of b 00s ted by yesterday's S10 rise

« wi'.nUhnnm in VflcHinfl mflrhlllfi n-hirh I*lncOff

Nil ' — —

F.P.;18j12 161 1'
Nff r

F.p.;i7jia BtU
N>l . “ „

““9"* — : . . - uuujliu mj jso.,.' — - - . ,

a mini-boom in washing machine in bullion price which closed
sales helped Hoover A to put on at ^435 5 an ounce.

4 to S4p, while Halma gained 3 ' charornarkp1

to 87p in response to the better- The 5 JjTf mar ^
than-expected mtenm results. Jjeadj note, enco
Euro flame raltied 2 further to profit-taking aroum

The sharemarkel opened on a
steady note, encountered light
profit-taking around raid-day. but

Euroflame rallied £ runner 10 H t _ ,* 1(>KC at *h e

16p, after 2n P . and Silentnight quickly rallied to close at me

fitw^swj}

rMK « g nf*S; 83S <>, » «

morrovr’s inierim figures, Peter London Financials fell sharply

IJinrniw s luiciun u6“**-*< - , — — , , —

Black gave up 8 to 215p. while at the outset, depressed by me
British Aerospace came on offer downturn in UK equities, but also
at 198p, down 6. Recently excited staged ' a recovery in the late
bv the Kuwaiti Investment trade.

SHiS IIS id* %J -

a i 5 s AS ! SIS : - = i 9 *pm • 1 *rt4 r :

ill I f!p.-23j12 2111

S2 i JIIJ _ - Sml 5pmlllenBon*Orp. j 5 g5lll,

£= sH_ ia i _ al iSm 7 5asBasz==d

S F.P.;17Tia Btjl £ fpm^-

a K 18 a -? 11 .4^

Renunciation data uaually tost day tar

satssr-Tsa J

F Dividond -nd yield be«d on SSSJSVlJSmZm

iSr^VZSS^ mkln. only *SS^%d!Sfi

once, p Pence on lees otheiwae^ indicated. g ™ d Q{ '

'^SUtS.

It London U*. t Eflectiw issue pney after M»p. t h«w«l » •
comprising 33 Ordinery end EB Loan 13B6-8B.

f issued as ■ .obit

Office's increased stake in the m,, jlnto-Zinc were finally un-
comnany to 6.75m shares. Chubb ^ered a t 430p, having fallen to
reacted 3 on profit-taking to 99p. ^23p in early trading, while the
Pilkincton. S easier at 255p. Bermuda-registered Minorco
became the biggest casualty of up S to 392p. .

ACTIVE STOCKS

Above avenge activity waa noted In tha'lallowina awcks yiwtorday

HIGHS AND LOWS

S.E. ACTIVITY

G°vt Sacs... | (jj/jfj

Fixed Int. -I 7831

| IW-'SI

Ind. Ord..._. 597,3
j 1S0I4J

Gold Minaa... 4393
l Will)

1981,2 SlnccCompiKfn

Hi gh 1 H| B h Low :

70.61 I 60.17 ■ 127.4 1 49.18 *‘£532 j

ea/5i i8B/ioi i tf/i/ssi i5,i/T6i nja. •

7a.01 61.61 1 150.4 50.53 Bargaina....

|Z0.’5> (76M0r .(a6,ll/«7) «Si1f7» • Value 1

597,3 446.0 , 6973 1 494 Edged !

(S0,4j (M,1. -.30/4,811 (58,6,40) ;

429.0 262.6 | -558.9 43.5 .Equftie*. -

1 14/9) (29,6) mUM) (26,10,711; Bargains.;

• Value....... -

286p as did Phoenix, to 21fip.
Elsewhere, Pearl, at 3SSp, also
lost S.

Mothercare easier

Breweries continued to drift
lower for want of attention.
Sporadic support was evident at
the lower levels, but the leaders
still finished with modest falls.
Whitbread, S9p, and Scottish
and Newcastle, 5Qp. eased
around 2 apiece. Wines and
Spirits also closed a shade easier
for choice. Arthur Bell finished
6 lower at 148p, after 14Rp,
following adverse Press com-
ment. Support was also lacking
for Lois Gordon, 3 off at 29p.

A few pence easier for most

renewed selling. However, a late
rally helped them tn dose well

gave up S to 392p. .

An otherwise quiet Australian
section was featured by Gold

Stock

Bank of Scotland
Barclays Bank ....

, io aiai> nuu ur»r.«» F.iertncais wnere me leaner* . . .rr , - *

s to 306p. GRE declined 8 to we re particularly vulnerable tn ‘he quietly auu leaaers. An otherwise qU j et Australian Stock

— «u — x_ re newed selling. However, a late Recently ' firm Plrasurama sec ti 0 n was featured by Gold Bank of Scotland ...

ralW helped tliem tn dose well dosed 5 cheaper at 305p. after jui nes 0 f Kalgoortie. 8 firmer at Brntsiays Bank

above the day's lowest with GEC 300p. the increased annual profits 36gp and Pe j; 0 . Wallsend, 10 Barran P® v ri e J"^ Bn “

finishing only a few pence nff at and proposed 100 per cent scrip up al gjjop, both .following the ®J t,8h A8ro p “

SOSp, after SOOp. Flessey lost 4 issue discounted. Elsewhere in gains in pre dous metal prices. Grand "Motmpoiitaii „

more to 353p. after 350p, while the Leisure sector. Horizon In the oi j and g as i SSU es. Beach

Kacal dipped 7 to 428p. after Travel, a good market of late on p etro i eu m added 3 for a two-day _

425p: the latter's interim ' figures reports of increased holiday ga j n of g t o 98p reflecting MOI

are due next Wednesday. Thorn hookings, reacted to 275p on rumours that hydrocarbons have

Closing
price Day’s
penes change'

more to 353p. after 350p, while
Racal dipped 7 to 428p. after
425p: the latter's interim figures
are due next Wednesday. Thorn

are aue nexi ticuiir.'uaj. uuimiu^. ■»—

EMI. with half-yearly results profit-taking before closing a net
scheduled For tomorrow week, off at 278p. Fading bid hopes

- J . .....U — r 4 a • r—n SUrt -.nil Fjlvinv,

eased a couple of pence to 455p.
Elsewhere, Quest Automation lost
7 to 133p awaiting today’s first-
half results. Ward and Goldstone
shed 6 to 106p hut. against the

isijue discounted. Elsewhere in ga i ns j n precious metal prices,
the Leisure sector. Horizon In the oi j and g as j SSU es. Beach
Travel, a good market of late on p etro ] eom added 3 for a two-day
reports of increased holiday ga j n of g t o 98p reflecting
hookings, reacted to 275p on rumours that hvdrocarbons have
profit-taking before closing a net enc0U ntered in the Sperm

off at 27Sp. Fading bid hopes whale No. 1 well in the Bass
clipped 4 from Black and Edging- strait

j ij, dQn Amonn TolAnidnn . _ .«■ j

Stock 1 .. Pf"f

Howdrni Group • — 150

RTZ - 430

Royal Bk ot Scotland «6

Shall Transport 394

Sun AMtonca Big

Ward CT.W.) ~ — . 218

Closing
pries Day’s
panes change
150 - 2

ion to 48p. Among Television
issues. Scottish TV A shed 3 to
77p and Trideni gave up a penny
to BSp. the latter following share-

Elsewhere, Tara Mines eased
5 to 495p on nev/s that workers

MONDAY’S ACTIVE STOCKS

Based on bargain* recorded In SE Official Us* ".

No: of closing . . ■*2ii£- e 5S B l

price price ••Dav^a -pnes. pne® 1

Stock

GEC

changes pence change

shed 6 to lOfip hut. against the to fiSp, the latter following share- ^ com panv*s wage

trend. George Scholes pnt on 8 holders’ approval of the £14.6m off J e ^ the md ne has P been closed

to 24Sp.

-Leading Engineers rallied in
places. Tubes, 122p. and Hawker,
320p, both closing without

48.5' 46.5

106.6 112.2

.-V icwr

of Hie session in the absence of alteration after touching llSp and

— A ‘Di^Minrrr Tl Cn mennririrnlv 17 nn OUldri

support leading Buildings
picked up in line with the

31 Bp respectively. Renewed
offerings, however, left Vickers

The Stockholders
Investment Trust pJLc.

56% ASSETS
NOWIN
NORTH
AMERICA

56 % of 1081 portfolio, compared with 43% in. 1989 and
28% in 1979.

£ Dividend up for the 11th successive yean

(^'esof the 1381StoddioHBrsInvestaieirbTrast Report aM
available from:

John Govett & Co. Limited

Management Group

. __ , Ttrunama

TOndiester Hoobb, 77 London ^ Wan,Lood«iEC2N3DH.

Playhoy deal.

Tlie unceriain outlook for
interest rates Inhibited interest
in Properties and the leaders
closed with modest losses, where
changed Attention elsewhere
was centred on situation stocks.
London Shop Property closed 2
cheaper at 135p, after 134p, fol-
lowing the 135p per share bid

NEW HIGHS AND
LOWS FOR 1981/2

The (allowing oaotatrara hi Ihr Share

information Service vesteritav attained n--.w
Higln and Low for .1381-82.

NEW HIGHS U3)

BRITISH FUNDS (II
Treas. 3 PC 19S2

FOREIGN BONOS (1)

japan ape 'io ass.

AMERICANS ID
Norton Shnon

BUILDINGS <ZI

Feb Int. W la Din* Groire

ENGINEERING (2)

British Northrop Yarrow

INDUSTRIALS (4>

Dover Corp Hlghgate & Job

G E (Hid as.) Ward (T. WJ

MOTORS <11

Braid Group

TEAS (1)

Williamson

XEW LOWS (24)

CORPORATION LOANS (3)

ICC. 6\ipc 'B 8.90 London Cora. 9Unc
Herts Slice 193S-87 1 988-85

FINANCIAL LOANS Cll
F.F i. rijpc A Deft.

1989-92

BANKS til

C»*v Discount

BEERS (21

Gordon (LA Whitbread A

ELECTRICALS <11

Scan n»ta

ENGINEERING 2)

Pirmimham Mint Elliott (BJ
INPUSTdlAtS (11

Cawdaw Ind.

INSURANCE 'll

Phoenix

MOTORS >21

Sunra Groue Western Motor

PROPERTY (II
Carlton Peal Esfcitei

TRUSTS on

Nrgtt S.A SPLIT Hie.

Precious Mertl?

OIL A GAS (51 _

Double Eanle W-rrlor Res.

Falmouth Pel.

RUBBERS (11
Grand Central .

MINES (2)

Wrlhpm Coronation

RISES AND FALLS
YESTERDAY

Run Foils Samfl

British Funds 1 '87 4'

Ceirpii-.. Dnm. and

Famlm Bonds ... 2 38 32

Industrials 13® 787

Financial and Prop. 37 138 276

Oils 8 45 56

Plantations 2 9 13

Mines 39 38 81

Others 96 42 43

Totsto 286 894 1,302

OPTIONS

First Ijayt Lest For

Deal- Deal- Declare* Settle-

ings inss tioo ment

Jin 4 Jan 15 Apr 15 Apr 26
JanlS Jan M Apr 28 May 10
Feb 1 Feb 12 May 13 May 24
For rate indications fee end oj
Share information Service
Calls were arranged in Burton.
Capscals, Trident TV. Premier
Oil, RUM, Black and Edginglon.
BF, Burmah, Weir. James Finlay,
Comhen, Royal Bank of Scotland
and Lora Lie. Puts were com*
i pleted in Habitat and Royal Bank
; of Scotland and doubles were
: struck io Exeo, BP, IQ, Cons,
j Gold Fields and Royal Bank of
! Scotland.

III ™ T"

at tbe Navan zinc/lead mine have htz 14

rejected the company's wage jjggj"* 12

offer: the mine has been closed Raca , ...
for six months because of the R« n k Org- ••• 12

wage dispute. Trafalgar Hsu 12

Stock . chang

•Cabto & Wire .10
Sun Alliance 10

BAT Ihds. ... 9

Chlorida Grp 9

• Comm. Union 9

Mariny 8

Tridant TV A 9

ehangu ponce chonga

FT-ACTUARIES SHARE INDICES

These Indices are the joint compilation of the Finandai-Tawi, the institute of Actuaries

and the Facufty of Actuaries

Tues Jan 5 1982

Oaj* Yidd%
No. | Charge l Max.)

EQUITY GROUPS
& SUB-SECTIONS

Figures In parentheses show' nwnber of
sucks per section

1 CAPITAL GOODS (210)

2 BulMing Materials (231

3 Contracting, Construction C28)__-~-

4 QectrlCBls (30)

5 Engineering Contractors (9)

6 Mechanical Engineering (67)

8 Metals and Metal Forming (12) — .

9 Motors (21)

10 Other Industrial Materials (18)

21 CONSUMER GROUP (198)

22 Brewers and Distillers (20)

25 Food Manufacturing (21) ;

26 Food Retailing (15) —

27 Health and Household Pnoducb TO —

29 Leisure (24)

32 Newspapers, Publishing (12)

33 Packaging and Paper (13) —

'34 Stores (46)

35 Textiles (23)

36 Tobaccos (3)

39 Other Consumer (14) —

41 OTHER GROUPS (79)

42 Chemicals (16)

44 Office Equipment (4)

45 Shipping and Transport (13)^

46 Mftccflaneous (46)

El BflB BM M/a > « *mm r tm m n l - m mr ■ t ■.»/ .a ■ ;

|Vi EUiEia salt Ea ►a 3-tii*nu> a r. war.) ■ t- v >; t ff aU ■

Fa Kal H r T or l t.-th j* »

62 Banks(6)

63 Discount Houses (9) ;

65 Insurance (Life) (9)

66 Insurance (C om po site ) (10)

67 Insurance Brokers (8)

68 Merchant Banks (12).

69 Property (50)

70 Other Financial (15)

Investment Trusts (110)

81 J Miring Finance (4)

91 j Overseas Tradm (17)—

i t' ..

t Flat jfald. Hlghsandtow recor^base dates and value* and cwstiteait Oonges^pt*ratiedMSatu^ tones. A iht rftheco«titBoifa\' r :-. ^ .*•

h available from the Publishers, Die Financial Times, Bradcmltoa*/(toraTO Stre^ price lip, typacta&fe

- • •• • . • ■— \\ < i ..

.. : X.'. r -_; /’ •. . '

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‘ 64, LordCM WftB, EC2M SOKL 014285181

r.&Gcfl.

<4cam. (Mrtsi ,

(Aeon. Units) L _

ErtraYteW (B35

(Actum IMs) tSSi

F» Ea-lrtn !

Md

lAtcumUrtts).

Saw ft Prosper Croup

4, Gml St. Halms, London EC TP TCP

' ! T» Sl 4 Sa, ! KS H .

inteniafidnai”

SoHd Intemaiionaf-
(Jnlv. Growth —

Iiaairiw Incem F

mS

aimeswi

Grth..jJ93

UKEteiHy. 161.2

Brtnaas F«"d* (*) .

iESEsfe

Cflrrirnodny^ 11313

Eam«. (lw.2

Ej&krhkzifand (rf.jffl. 3

Flfw«a^Sr« 105 7

NewTodu«*>gyU)..l472

65.71*0^ 225

SevtbHs SocuHt

Scoateres

Sckroder IMt Trust Managers LhL
48, SL Martins Lanr, WC2. Deaflngs 0705 27733

Gtd Stovni . — —
lnU.MWLFd.acm.-
lrtl.Frt.lnt.Fi —

Prep, Fa fat

Wpte Ijyr. ‘

EquttyPro.FiAcc...
Firpal.Pm.&K...—
ShiKai.PwJtec^-.
laU.Un.PnFnAcc — .

Prop. PrtLAti — -

NT pie Inr.Pen Ac -,0*1.4

A KEY Uft Assurance Ud.

26s Prince* of Wrt« FA, Bmouth

General PKtfdl lift In*. C. Ltd.
Crcnsbrtnlc S(- Cholwrt, Hrrtf. W0HMMX31971
PMfpl.lpEd.Ace 1 lg5 ■ 1

a"aa =

BSSft&r 1

pSSmmSiwl"

IIWUpHfFd-
Miw*yF«l —

FS7fi«:

SSSl^:rir:„

EcuitY Praslcn Fi —UK _

FlrrdlnL P«B- F4 -fj)V7
HgtiYrtldPrw. M. .

Moor, Pnlgg Fd

Prupnty Podlon Fi

FTeilfrtH

UOftFaMm _

AntenCM S> 6 cil Fi .ncg.5

Ineew FI 11280

Ml. GxMOh Fd 1154.5

Croitai Fund

Bardajs Lfft Assor. Co. Ltd.

- Vm 762122
-

Growth ft Sec. Lift Jta. Sac. Ltd.

4& LendBP FnUt Enteqc. El 6EU 01-5771016

IfifSSlS fc

Gardai Royal Exchange

Rpyrt Exchange, E D3. 012637101

ftPcdM^AOTine*

PropKtyBonk..— -BS7.7 29961 . — I —

5gS3B“1«^ -

1917
1232

Flart Irt. imiUl

Do.Oca*n. _ .,
IntcrngOonal IrtUoL.

Do, Arajm. —

Frapfrty
Do ficcan.-. —

Deposit Inipd

Da Acorn

01-5345544
171.8 -U8 -
169Jj -L9 -

z

(Aetna Unto)

Fum.

(Aenna Units) Z).4

SrrsUlw Co. i 1518

American 54*

( Aea*t Unhs).___ 54 5

tAraSn. UnfeVlI “

5§::- m

1^1

71 -1.4 AZ5

Archway Unit Tat Up. Ud.ft)ft)

317. High Hotoom, WC1V7HL, 01431 6233

Ar fcw H g ht Managcmant

Pononm Cdoiv Moaehcstrr 0614342332.

AifcwrippFd. JsaS-QiOlU 106.4t>06i L01

Barclays IMcmi LhLftKcXg)

Untan rio. 252, Awcforrf Rt, £7. 01-5345544

8!sa s

&SS &

Ml

1501

.0

0

252 Rncrforri Ri, E7.

BardapWRis

gUSsst.. —

Irternrtjonal-.

Managed

Money

Pnom*-

Man.FV«JScci»Tt

Da hiittaJ

SiKDWhMLAcc......

Do. twfial

Moray Pens. Acc U333

oo.iihi* nsLs

Black Horse Life Asa. Co. Lid.

71. Lombard SL, EC3. 01^231288

BlacV Horse Sten. Fd.’

Pen.

Pws- MaugrUAcL-
Pem.EiMylitod-.™.

Peas. Equity Ace 11493

Pens. F«L fnt. Mk) pp.7
Pern. Fiwd lie. Ace,.

Pens, inn mfttei

Pecs. WI.Act

Pas. Prop. IcntiM,—.

Peas. Proa. Ate.

- Pens. Dera rniial|1180

Peis. Depov Aec. ....

Hamfars Lift Asurance lindted
7 DM Pm* Unr, London. W1 01-4990031

Rxed Int-Oep 1

E«rty.

(«c m Upiu J— —

cSfcz

nTfeia:.TJiii

TUUe AG4tt._

(Accum. uateV. :.

Extra Ixmrimi-

Income TiL__.„

*SE®£=

Rotact FTOser Trust Mgt Ltd.

286 Albcmarte.BL. W.l. 01-4933211

Ante. Frwcr ULTst. f722 784 —4 60S

Frkods Prmr- Trust Uuapn (a)ft)tc)
FMonEniOwUng. Tel. 885055

i$S:SI iS

Fluids hi Cunt*

MdfcTfcastee.iangcvar.WC2. 01-4054300

6.T. Unft Mmnn Ltd.

ClmD,EC2M:

(A on Urttsi,—

Australian

(Acum Unils)_

Singapore* Malay —

lAccian Unrtsi

*ni.iC.ftLDfce31._

•Re*xiwy Jan. 5 PQA3

*So«c. e*. Jan. 4 14622

EwoExeepLOeO 1 .11106. un

•for in eiempC tutds only.

Scottish AmkaMa Inv. Mngrs. Ltd.
150SL VhKPmSL, CIbtow 041-221 89*4

Equity That Actum.. U02.7 110.91 -L6) 563

Scottteh EftdtaMe Fund Mgrc. LH.

2SSL ArtfaewsSaEifMswgh 031-5569101

Sana— ja t.. Si i^a iff

Deasng day Wetir«cay.

ScotlLHi WMows* Fund Ntanssanent
P.0. Bar 902, Eirtvirrti EH16 S6U 031-6556000
PTOW6 Tsl. Dec. 31 J93.7 100.7f I -

- Gift Edged —

ra =

MwaAift Management Ltd.
SL GemgeSM^r, Stcrnwge.

043856101

SIMCQ Muney Funds
66. Canr Si reel, EC4N ME

01-2361425

gSSt&==m t8

May flow e r M a na geme nt Co. Lid.
34-18. Gresham SL EC2V7AU.
(neampJan.4

««== I

114

16.F)a^nryCtmD,

*r*

i

I

.T.TadL
(L A A, Trust ft) (g)

aagaag

7DJ.

01-606 TO99
*14 908

id is

McAnally Find Management Ltd.

ffe9PHsiL.fQru William SUEC4. 01-6234951
Deft* 1 me. Td. Att...f33.4 , 37.

DefcW lire. TsL lnc_

HenFwdAcc

Hen Fund Inc. 1 72.7

Mmury Final Managers ltd.

30. Gresham SL.EC2PZEB. 01-6004555

stfs===8£. >||7H

Stewart IMt TsL tto n ag ere LtdL(a)

45, Chvrlatic Sa, Edinburgh. 031-2263271
tAmcrican Faxl — — J97 1

Aram Units (1M9

WuhsftBwal Units

ffiffStf-rSt) --

••EuropnsnFijiid.... r l83 6 89.81 - I 286

m

Managed lr». Fd.’

FLc^weresl Fd. — [UO^Jl ]EL2f)-2?3 — l*icE

Cash Fa

Inarae Fi —

Extra Income Fd.

WoridmdeGnwthFd.

bUrxeriFi

Smlr Co s & Rccx.Fd
irvt. Teciinoiogy Fi
Mft Aner. ion. fit .

Enrroy Irn. Fd

Pacific Basm Fund

Canada Lift Assurance Co.

2-6, High SL. Pouen Bar, Herts. P. Bar 5)122
Eqrtty Gth. Fd Jan. II 73 8 1 -O

H*/ra. Fed. Dec.7-J 2*9J

Canada Life Assurance Co of G. Britain
2-6 High St, Potters Bar. Herts P. Gw 51122
M»v»W Pen Fund- [1.^ 2-S99J ***421 —

FYnprrty Pen Fend— Lro4 107g+5ira —
index Uriel Pen Field |l!u6 1070( *0CE| —

Canrmn Assurance lid.

1 Ofeteric Wry, Wembley H A9TOB.

Eoully lifiiis ‘

Property Units «_J

Egiity Soref'Exrc —

Prop F/«iiExpc I

Bai. Bi-crra'Unl — ,

Dimtii ttrod

Egniy Arairr

Properly AcDmv

MfioJ AuwtX

M Etrnty

.7nri Property. — —

TnriMsugml

2nd Dop'd >1

2m(Mi.

2nd Aomcan _

2mf Irtl. Mone* .

2nd Eg ppaulxJ
2nd Pip. PMI.V4CC
2nd Mgd Prro/Acc
2nd Op. Pros' A<x_ .

Gilt PeisMcc.

2nd Am. PcmlAdi— .

TrrilolJAnnrrPf-r^Adc

LLES.I.F

LAES.I.F.2 1 _

Cunent value Jmwy

Amemcai Act.

P ra F|n^ft ,

Pm-F.IHeoAtt..

Pm. Prop. Caj.

Pea Prep Aec. ,

Pea Man. Cap

Pm Man. Acc

PeaMt&ig C»

Pea Gill Edgr&L_

Pm. Eg. — ■p

Pm Eq Acc

Pen. B5 Cap.

Pm. aS. Act

Pen. DA.F. Cap I

Pea OAF. Aa.

Hearts of Oak Benefit Society

129, Klnpwiey. London, WC2B 6NF 01-4040393

sssaa=9& ™3d =

Henderson AJnamVretlon
11 Aid In Friar*. London. EC2. 01-588 3622
-9 JWfl-W -

Si] -o-* -
inC/l -2X -

3D7.S+0.4 —

124.3 +ai -

136.41 *12 —

1661 1
165.1
i *0tf
4 -flfl

1*2J -o3

JCl J

Jtg.1

flSteVtrnrncm Fundi 1 * 0 - 5

Far Eed Fiml ...1365

Prtcrriy Fund ‘

MpmcedFirt

Drpovl Funl

Prime R»MI. ft.

— Wfl Samoet Uft Assur. Lid.

— NLA Tvr_ Addscorte Bd, Cray. 01-68B A3S5

Security Fund — HSS 104.01

— ButK'iFimf 97 0

“ Interred krai Fund — U0.1

DoflarFund IWiZ

— OtnhdFund UJlh

“ iSrtRFuwi

1.97

62B

Capita! Lift Assurance
Carts on House, Chapel Ash When.

KeylwHt.Fi 1 lft8ft

Paccmakertiw.Fi | ajl7

Property Series A, ll|7.l

Preoeny Unite [257,,

FJnmcial Fi**)

Mriffcryl SeS« A '

Maraud Serin C — L - „

Manaced UnHi. tah.0

H«jh Yrrid Fund 10)21

h^y Series A.„_g7.0

n2z.t>

090220511

Monty Ucrts

WfEf&a---

EintneanFmd

_ ***[—$&
FarE^Fyd,. ^

— Spec. Stts Fwrt..

(0277)227300
<6.71-871 535

Barfing Brottm A Col "Ltd.

8. Bbtenagate, EC

strauonTnA^.

tftA r -gH*».*r,

(0-2858833

I rf»-

Gartnnre Font Managers- ta)Cg)

2SL Mary Are. CC3AU8P 01-6236114

Doflng only; 01-623

Stock Exchaoge.1
BrgwPr.“0«L

Mgmt. Co.

EC2M HU. 01-5886280

i=

Bridge tad Maosgan UXO

BagtsHse., WngWl»rnSt,EC4.
Amer.Gwi

l.A* , AJVLjre+u.^ c*y

-

dfcatd Bank Croup

IMt Trust Managera LHL

8SSSS&S: **" *** »42 79842

8 W.

Govctt (iotm)

77 London Wan, EC2

B®aasc£[

S. European Dec. 31 1

01-5885620

Brttmda G*. of UnH Trusts Ltd. CaKcUg)

Grlcwsoo Managmwnrt Co. LM-
’ 59 Gitshftrt Street, EC2P2QS 01-6064433

^anandfeertfc— ;

Da Acc. - — —

Worth dmerlcrti — ,

SwrseasGrevitti-—'

Da Acc.

toity Exenpt*. —

‘Prices 5~De55*r

taster tad Managers Ltd. 1

SSSBESrrlS*. if

jmrooiai rum...._KX3 u ot.m ^ - « «

oS. tTuss. & Pi ‘Vtel “Men. A Iter.

Sun Aiavree Insurance Braup.

Sun Alfence Hse., Hor-Jwm. 040364141

ffl

Swiss Uft ta. Tst. Man. Ci UrtfaXO
9-12ChNnlft Landed. EE3V64L 01-2363341
Equity out.* H415 8 s J 23 - 5 * - -I

B, "* y irt.

FtediiiAcc.f~_jL95.41 98
►fMcrs si Dec 9. NpjI dealing
1 Prices at Oe c. 2 Hea dealing

Target TsL Mngrs. Ltd. (a) (g)

31. Gresham St. E.C2. Dsallngs. 0296 9911.

Commortly

Enptyy

Fmanort
Grit Capil
Gilt UiDBr.~
mrertnefi Trust
Special Sltusijore

Ameriuut Eagle

U^. SpcJ. Bond Fi.J

Chartcrfroose Magna Bg.

Non knmm as hbrttlpft? Health and Lite Assurance
Ca U i

SSSEM?' “SSS&m

.— ...iKsirtn.

ChrihvEneirar

Magna Bid. See

Mapa Managed 1

WO

1727

174.9

C tan ffcain Assurance Funds

11 ft Street ECZM4TP.

Managed Growth

Manned income —
iniprnaliDrBl (ri— ...

MftJh Income

Income A Growth

Basic Raotrccs

Amtncan Or)--

Fa- Eastern tel

Cash

01-2833933

9M-

W£ -

r

-70l +Lia "

\0V8

Extra income —
Ptpbwcc wUrv..i«i

Income Bnd Growth—
Growth

Cuanflan BayaJ Ex. Unit Mgn. Ud.
figyal Exduqgi,£C3P 30H 01^28 ®U

MSoanMlTst — 0328 237.71 -L9| 4J8

Handefspa Adrah d strat to u (a) (b) (c)

DJt-.Fnad*-

MLA Unft Trust bftgnrt. Ud.

OU Owen street SW1A9UG. 01^2^.77

ULAUpKs. [94.1 9871 -LA 3 JO

Murray Johnstone ULT. Mgot (a)

161 Hope Street Gteqow, G22UH. 041-2215^1

Mohrat IMt Tiust Managers (aXg)

National Provident lire. Mngrs. Ltd.

481 GracKferdt SL, EC3P3HH. 01-6234200

— Gth. UaTsL*.-n "

^Y.J*afc_

CartMAcc. Jw.b_

Cftr of Westminster Assurance

Ashton House, W SISxjry i
Mil Lai Keynes. MK92LA.

West Proa Fimd r*.

Maragsd Fund 4

Ettlity Fund . —

Fartroxi Fund ____

Moray FiavL

GiRFu

101

ProprriyAix

ES3&™

ManaoedCan^

GoaraaredAa —

GuwanteedCap.

SSMteB 1 fid

Indexed Sap Cap PP.4 952 J

Ireverial Ufe Ass. Co. of Canada

Inxxrial Fkxse, GulWteri 71255

BMMBi-efflH ®;h3 =

Urtt l>*ed Pnrriote).

Managed Fund

FhtflJ VnL Frt_

Securo cat HI — ^

E-arty Furel —

Property Flmi.

Irish Uft Assurance Co. LM

ftsllden Hewc, 7/11 Mowgate, EC2. 016068401

Gilt Fund ...

Black GaU FA-
PULA Fund-—.

Soc. Prop. Unft..

SOC. First Out Fieri

. Fund aimrfj rtaed te. .

Pertom Units- 243.4

FtV Pension Pnem |Sease pbnw
iris a Prices are far prtldB taped

-0.4 —

L2 zmSa +2.9 —

7.7 J44.9 +9 A —

12 BL2 +4‘ _

960.

Scn«U) These *re bid prices lor enter prtfcft
Clerical Mudical Managed Funds UL

m i. — . -

Fcr Tww IWt 7ivt r<ea» see
Dlltar IWI Tns

(ACCUIV IlnlW— ■ ■■ , ___

‘Prtc» on Oec jl~rtBrt
“Prices on Jan 4. Ned dealing Jan 28.

National W brira lm t e r 61)

161. Chenpslrfe, EC2V 6EU.

& a

202

b^tnaaM

ml£E

Grit Trottta

TtiaBrHisbUftOfftaUdft) ,
AsOaoca Hse-TunliHdgeWrihttt. 089222271

h^i a

Brawa ShMey ft Ci Ui laKg)

Harlands Hse, Hqywd* FPiq, ft 0444J8144

** - J “

SS55iA«wa

Growth 1
High
Inca

Bu dcm ter- M eeig iw e n t Ctu UA^:

The Stock ExrtamO^E&P 2JT._ 01-588 MW

WMN-ff

C«rti Uft

M Hlsfc SL. PPtwn Bw r Herts. _ P.B» 51122

Meontrn Senrto Ltd.

4 GL SL Hrirns, Lnnifco PCS’ 3EP 01-5510094

artUinlrtLGr.lnc._f4?.* ;SZfl 4Z7

H» Sstmrei UaRTsL -Mgra-t ft>

45 Beech SL.EC2P21X 01-62880U

S DotlarTrosl

f SitS'T—

FtBUKiaTreg-.

NEL Trust Ma nag era Ud. (a) (g)

MBIon Court, Oorfdng. Surrey. 0306887766

ttwcrndM Si M IS

Iforthgate IMt Trust Iftnagm Ltd. (cXy)
20, Moorgale, EC2R6AQ 0L6064477

SWSS^r® M d US

Norwich Union Insurance Group (b)

PJJL Box4. rtorwfc*, WR7 3NG. 060322200
Grom Tst. Vond- HSU 5085 ~6U 534

Ptal Trust Manners Ud. (aXgXd
252: High Hrthoro, WC1V 7EB. 01-405B441

'ifif ®

Mon (Mb Admm. Ltd. (gXx) -

57-63, Prtnc«s SL, Msrichcrter. 061-2365685
Peffcat Units 1 1316 14L6[-Ofl 4.81

Trade tMun Ibnt Trust Htauagm
100. Wreri Street, E.C.2 01-628B0U

TUUI Jaai 1621 66JJ —_l 5D9

Tmattantic and Gen. Secs, (c) (y)
91-99, Nrw London Bd, Chelnsfoi 0345-51651

^s"uss^d86 m

Bat.E xretaN
CoterocoDec.;

Sq Irt. D«L 3TIB6.3

Sa«ii-s: mV

Mean. Unft* » 3

fAcraa writs) 64 7

Wictawra Dec. 31 — *79
(Accum. Units] — U81
WtaoTTrDni.Dec.31 703,

(Acanv Unite] — — F1012

Tymtea Managers LtdfaKbXc)

A .s^ss

rjpiia ]. . 1172.4

(Acanalferib) : 702

incnme — _ 94 ,4 .

lArrura Units) 222-6

Pref 82.2

l Acgja . Unlej jg.6

OLeQumT thifcj V . ' . 2223

InL Enn. 772

<Ara*a Ureti) 1000

North Anrr. Grth. — 666

lAccuirUnhsJ 7L6

Fw Eastern 743

f Acorn Units). 758

Gat Income [83.7

(tarn, Units)

15. SL Jama** So. SW1Y4LQ.

MMUFurd "

Prte’&wrTr'Ortt dtaUngs on
Commercial Union Group
SL Heteirt, 1. Undershatft, EC3.

Vr.An.Jaal 1 W2D

Da Aajy.Bn. 7. . . .| 2519

01-9005474

37500

Hand

fiiurni !

I In' Hand"
n07j

hat Wat Urtt Trust.

Conf ed er a tion Life Insurance Co.

50, Ctencety Law, WC2A1HE. 03J4202B8

PeaMngd — 122.7
__ ^tarihtaaPcn. 122.7
GraupMnd.Fm — 3K8

Ftxeg lnt-T»m 2325

Earity Pension 417.8

KOtBL.

Cam Pension 1050

ConduD insurance Co. Ud.

32, ComMl, E.C5.

3B

Mrtirrt Resources. —

Units

fCap.ewth".!».l
lAccurx lhnei.~ — rg.9
Ufa. me 'Fr.6K£*tiJ2Z*

(Accum. OHh) 1*.?

Lft wan Fla PUT* .123. 7

lAcxua Units) .[K-4

Lmwm H< iroPriTy-cJS

gggggL

PI-6265410

Cndtt ft Caronerce Insurance
12a Re9»«t SL, London W1R5FE. 03-4397081
C&C tepaslt Fejri.-_.U57r

CiC InL FiHu^L
C&C Wtogi Fi [158.0 167.

Crown Ufe

Crowi Life Hse v Woking GU211XW 04BK50M.
OlsL Fi lnqa._

Mang'd Fd. Ara

Mangy Fi IreL _029’

Mano'±Fdlncm.__h»4
Property Fi Ara — 029X

_ Pens-Pr.

PetB.

Pwpehal

48 Hart St-

TS8 Unit Trusts (b) (c) M
PO Bob % Keen Use, Arefcvfr. Harts SP10

^aSS^_3£| O02M 50^‘

Untt Trust MogmL (a)

SL,Hfrtey on Tims 049126B6B — ... .—

esn S3 :d 5:S ftRczdK

1 Jvt. 6.

Csgsf Usacs) Mngt UL

inramt— — - —

H«th American
. Pricn an Oec

Cm sebag Unit That ManggnCi)

S,Sfl,MRMtr „

m?sm

CAteftc* CMWJjt

1S3STU “®

ChteHfts OffWH InvtsL Rn«^- m

^LoufcoWjdL EC2H10B-'

asssfcd- ,3ss j=jr

tlRTK.

rilnare Tras — -

“’WiE

SfacVbejrwja

HK Unit Tnat (*)

3 Fredcrkdc* Pt, Oh) Jetny. EC2RBHP.
01-588.4111

Kilo

=1

.--J 221 HK Itarilet Leaden .

cas. ?gsa

racipt agrara sooonswi 7 L i"

an expBsnHMdttni^i naagen.
day**, ortat. 5 feietwy grew. «

HKTKhnoto5yT‘‘--‘

ImotniMt ■»* •US-Ptff

■“\SL*J!5BTBi*k

hmstownt LW * ^

1/3 Worship SL.EMA2A 8.

lod.Aaer.T-diFi-ffi? 7^

Il'lisiiS::® m3 a
sta-teEp 1

S8 ISNgi-

KryExerotFi- — ^

IBSSfJW —

8gaiScrtW-»WW

mfinrort »««* ** M ***^S.»* w n

20, Fcocfriroh Si, EC3 OM23WOO

<3. Unit Fd. Inc. — 1

O.UrftFdis-.

£|! Fd. hw.Tjts — jj"

Practical Imast. Co. Ud. (yKc)

m, BfOomshiFy.Sa, WC3A28A 01-6Z3«h9

JSSBf±r.Bti ' ::.i S

Provincial Uft Inv. Ca. Ud.

222, cW®wgate,EC2 SI-9476533

Prglrilc Utah fnc.

PrudL Portfolio Mngrs. Ltd. (a) (Is) (c)

Hofcorn Bars, KIN 2ML ^ a 01 3P?B

■aajftK= SB" SS333 j1B.

^S^ C “- U,L o^^

Eeafi.^mi
Income.™ JJ|5
IrtL Furei.- 1K.6
Reco«ry_(lftl Z17,

Refianec Unit Mgra. Ud.

Rellnce Hse, Twbrl^e Wells, KL

RWwfefci Bteasement Ltd.

iSwSi.EKAlPD

ISS&lFr—

RetfecttW Asset Ifenagemert WWI W

7 S3 income 74.4

Da Araaa

TS8 Pacific M5

0a Arajm. <69

TSBStoUish 1224

Pi town, IM0.3

Usftr BMk (a)

Wariro Stmri.prttsvL
(WUWer Growth — 14L3

T. II .

Proa Md- Jan- 1 —

Prep. Kd. &L Jnv 1.

Prp.MiGrtfi.Sec.U_,

Exempt Mia Fd._._

S^Trctte Find — [

King ft Shnssn PLC

5WTO & Sharon 01-623 5433

Band Fi Exeopt — [E7454 76071-0541 _

Laghm Ufe A*»r. Co. Ltd.
L*gtamHse.HohnrookDr v NW4. 0WQ35ZU

S5S»W.^}! H=| =

wS (SP> Man rT^S —

Loyd ft General (Untt Assor.) UA

B3KB. 11 — ■

Cash Inittal "*’■

Do, Acaea

Equity initial
Da Acorn. .

Fuad Initial

Do A oam.

Inti, liribei

Da Aram —

Managed 1 Jrilai

Da Aram

Property WUrt.

Da tecum.

Exempt Cam (nil

Do. Acorn

Exenpt Fixed IniL

Do. team

Exempt Inti, hdtlrt —

Da Accum ___j
EXiTOt Mr^l. lrtL|

Do. team

Exempt Proa I nh —

Da Aram

Dg-SSS?_jzuia[7 150

Legal ft GcnvAl tap. Fd. Mgn. Ltd.

11, Q«i Victoria SL. EC4N 4TP. 01-24B967B
L&CDecl . -

Uft A*sgr. Co. Of P e wua dvanla
8 New IhL, Chatham, Kent fttwteay 812348

LACOP Units 110.60 1U31 | -

Uft Assurance

SL.EC2A4KX

Uoy* L

20, Cliftor

8Dcp.0ec.32-J

PstK. f*t Qv Dec I

ItaMctaH

Km*

023235231
44.4-051 £82

Unit Trust Account ft Mgnrt. Ud.

Regb tee. King Y/aUBti St, EC4R9R. 01-623 4951
Frttntec. Fieri — 1573 6LD4 { <-90 Mmeged PrasDecO

Pens. Money
Pens. Money InL.

Cnoader Insorance PLC _

Tower Hse, 38Trttriy Si EC3H4W <832323

Griradtj Prea^n5,-ffi3i...PAJ --j ~

—4 — WorMTecn.

1111

INSURANCE

089222271

BONDS

Abfeer Ufe Assurance Co. Ltd.

1-3 SL PsoTs Chwrttfart, EC4- 01«£489U1

EtpHy Fund. 1

K

mu 2<5.*}
141.7 109^1

Rowan Unit TrvA MLM

2BSK=a& *%■

(toum Unw*

BESKfi

014061066

Po Kioii M aawpi .

Prashn Seeuniy- — .
Pension Equity Fi._tjB8
Peiskei Fuad InL— r97.7

Eagle Star trRurTWtStaid Assur.

1, TInatfceaSe St, EC2. JV&W

EWM* unft |70.7 7331 -0.9| 635

Eguitv ft Law Uft Ats. Soc. Ltd.

Amcraham feed, High Wyoenbe.

ssea±rP !

SSSd_r_

neritaFmt-

Far East Fund — —
rtereebonai Fieri ...

UtertFimd

Etprity ft Law (Managed Ponds) Ud.

fteftm Road, Hi#i Wfeonte 0994 33377

|noL Pea Equity.....—;

loo. Pea. PropreCy _

Pul Fired Irt....
ten.hrirLk.Sa.-

■gsz

Dec

BS#^.

AmSpeoCHR.

aras?#.

FarEtatDre “

FHiSe "

Growth Dec. X._-.

Inc. A Grantt OK- 30.

InL Gratah Dec. 30.-1

MtEES !

KteLHLIne.0ecj».|

S»S\SsS. J

Rertrery0et30„

MSS2B

SSSB.._

Income Jan5___— 11038
litteroaMwrtjan^—

Spec al Sits.

3uJao5_,

Jaow-^5

_5.9 +1
09 3 *41 —

3ti3s =

«a =

w: ,

ftteSs^d

UKCndCoRcy JaiSj:

London 4*4011 ft NShl MIL Asmc. UdL
129Kta|sway. tarion, JYC286NF 01-4040393
‘Asset Butrier 1 |525 553| I - -

London Indemnity ft GnL Ins. C a Ud

lftZO, The Fortney. Fratfitg 583S11,

bse.-| . afaj

Fixed loterca (3 U 433-0!

London Lift Liiftetf Asw.

100. TMffeSL. Brtslpl. SSI bEA.

27

TliE London ft Mmelwsto Schroder Ufe Eravg

WiKlade Perk. Eerier. _ 03925Z153 ErtereriK Hrene, PorUnimith. 0705827733

Cee. fcredW™^'

Flee. Eanflri ft

FfceWr Freri™--—,
Inv. Trust Fieri -

HIVL Sr~E3

— S’lrtr^:

Ksiagrd

SGohl

Income Ofeinh. 1

lneone Accum.—

American Fi
Convert. 0

gss«

FeortyK-

HW^WdBond

Saws-*

Ueragtd Bond —
Property Bond —

SXBE=d

Aawriewi

Taira... — ,

GW aFri InL :

Australian —

B^.PeaCjo

B.S- Pro. Act.—. —

EipHy PeoMte Cao-
Eooliy FeiKhw Ate. _

Mgo Pen. Ace...

r,lrt.Peit.Cw...— .

F. lrt.ftw.Aa.

Money Pm. Ca — ....

MoneyFm. Acc.—..

Prop. Fra Cap.-:... -

FrSi are fw ufcTSeKs < s Prm»B Series ft

■ Kher prices Or reqiesL

ScoKHh Amfeablo Investments.

P.O. For 25. BdUMIlMM. 07863141

Ften^Mriesi" {S3,

Prage rt, }glj

1055

Era L/ft Inisnca £•? .... e— ^

St. Gemce's Way, Stevewr. 043856101 ScattWi Mutiud AwatanM SeeMy

Meoeged

Pnoerty

International...—^
tauten Aral Prices

Managed WL

Do. Acobu —

Property lcUL._..—|

Dn. Ar*u»

Equity Ini

03. tecun

Gih-Edgcd '

Do. Acnen

Guaranteed InlL— _!

Do-Acnin.

International IrtL —

tJri^uinsirri

Do-Accun.

109 Si. Vlnaent St, Gfcww

E &SSrȣsrJaB

— Scottish Widows' Gross

~ P0 Box 9C2, Edisfaureh EHlo

_ B?:a¥rK£g— GSS)

— In*. Cesk De^ 18

— Fund

— Equity Fund RnB^

= iSSSisr-l;

— Fined Int Fund - — 55?

z sfafflfitr

041-2436321

rj =

5BU 031-655 6000

Merchant ti ws tra Acsmaco
Leon House, 233 High St, Croydon
Property— — _

a^- PM,S "

01-6869171

Eutjrty Pens.

Money Marieet . — ..
Money MU. Pens...
Deuosxt„..

OetKit Pens.. —

Managed -

Managed Pens.

inti. Equity —

Do. Pmk. ,

IrtLMraged — —

North American ZZ-
Do. Felts.

Far Ensl .

Do. Pi

intro. .
o. Peas.

Do. Pi
Mm

...iLndwi-

NEL Pensions Ltd.
Milton Court, DorMog. Surrey.
Nriea Eq.Ca- -017A

Nelex En. Acorn. b

Nete* Money Cap-..._«R9
Nelei Mon, Act. 174.1}
Ntici GOt h* Gw.— JS7-8
Nptti Gth Inc Acc„..W.<

Md Med. Fi Ca — -P?.l
NdMxd.fd.Acc.— .[65?
NHa Deposit Cap — fa

Nde* Deposit Ace..... I
Ndei 1rt.Fxd.LnL Can
Nricx li*.FxtflnL «<3

Peas. Cash Fi
Ft U. Drc 30 _ 1|9.

E«. U. Inc. Dec. 30— WJ-*,
PK-MAH. Dec. 29.— ®7.8
Do. SLF4t?ec.25j.- <07.8
Da Pro. Fi Dec- 29_ 407 8
Da Cash Fi Dec. C9-IHWJJ

Z ft

Skandia Life Assurance Co. LM.

162-ltrt- nert SL, Lroripn EC4 ZDY 01-353 ESU

Managed Atx. I?144 1M.M -Ltt —

14o3-0'2 Z

3»a-ia -

EmiityAcc. - hl§ 2

Gih Plus Acc r

jicernatlonai Acc —
Pros. Managed Act..
Pens. *“

5014

end BusaMoed
01-353 8511

StPfftod Life Assurance CoWWT

36rcnte5»_ Edinburgh EH22XZ. 031-»E57973-

0306 837766

11-

78.7

su

54 £

m

74.«

V

Managed

«!£===

Intcniatwiul

Fi**dli*!r«i

Carti

Pension Managed —
Pennon Property.—.

Pension Equity

Pmsma lm>

PemiopFxi InL—'.
PensfcnCash — 1

3I97I-12 -

IStti,

@4*3

TM9

iiM

105

12B.9I+M —

. n

dey iaa 5

Npl PNsrons Ma nageme nt Ltd.

48 Cncechureh St, EC3P 3HH. Pl-623 4200

-

New ZeafaiMf His. Ca- (UKt LM-

Maitland Home, Sndhend 551 2JS 070262955

KM Key Im. Plan —P48.1
UK - -

Sim ARiann insnrance Group

Sun Alliance House, Horsham. (M03M141

Etprfry Fieri ... _.|W.7 MON -2JJ -

FrttJ Intrust Fund ..1)20 13-75 -L/n —

% iia -
— b|5 -

SiSSlr.; =

, , taSc=

Inll.&hdJfnS

SAFMFd. InL Dec 9,
SAPL Fty. Dec. V — |

Sun Lite of Canada (UK) LH.

2, 3, C, Coclccur SL, SW1V 58H 01^7305400

S!S!£»n

D»ntt

Norwich IMm lusurtaicc Group

P0 Box 4, Norwich NR1 3NG.

Maple U. Grth—
Mapte Lf. Mm®/.

mst=i

Pros. Man. Cap _
Fctii Mao. Acc.—.

1831

Fixed Irt. Fund 1

Deporit Fund—

N jo raira Wrira Ufe

FtSdTnterest*

Onjitrenr Share*.

060322200 Sun Uft Unit Amman Ltd.

107, CteapsMe. London, EC2V6DV. 0272-299524

1 ~

Index Linked Secs.*-!
Mixed*

Nor. Units Oec IS

!5“'«

Pearl Assarauce lutdt^Fwiih/ lUhtf
252 High Holhom,WCIV 7EB. 01-405844L

Managed Cap

Managed Acc. J18C.S

Property Hap ..UK.?

PiroertvAcc .—..11731

Equity Cap Kg-l

KSf'iS-v*:®’

Fixed Interest Acc — [1Z1.9

SSrriT-p

Bssaa--p|

JUncrim Cap- ——1777.0

American Acc |124Jt

Far Lsritm Cap.—.. (J42«
Far Eastern Ao—— .-1150.3
Distribution frr.b

113:11

-u —

-i(i Z

- 7 .( —

-10 —

=

II -06) 11*7

Ira. Prop. Dta

In*. Prop. Acc.— .
ra.
lire.

— Sm LiCa l*»i

4-5 King William 5L, EC4P4HR. 01-626 9B76

8!d:

Pfeneer Mvtaal hmrance Go. lift

16, Crortiy Rd, N. Waterloa, L'pool

Pioneer Mil. Md. Fd.|99-4

Ptumd Snings Group

68, East Street, Horsham

45 Managed
5th Man
Pension..

FxnntyMi

De. B , . ...

Do. C Brltaartp—

OB.DFxd.loL~.

FemOy Capital Fond..
Famdy BriLlJ ~..

Pens. Managed Ca.
Pens. Man*

Pens. Prepr.

Pens. Property Acc. J
Pros. Comfy up. — ,
tar-. EgrtiyAcc.— ..
Pros. F. Interest Cap
Fens. C" Interest Acc.

tart. Cash Cap.

Pens. Cash ffee — _
051-9286655 Fens. Irtnj. Cap

ter ■■riiwbal r I.

1B5*| .„,i Pens. in*nL Sol. — |7W.i

040350255

Premium Uft Assurance Co.

Eastdnter H« Haywards lteeHL0444 58721

Teeh.Fd._T ‘

Pros. AKrerlcao Cap.

Pens. American Acc .012.8
Fros. Far Eftra Cap. fi5D
•— Pens. FvEstro. Acc J169.4

— Target Ufe Awra«E Co. Ltd.

= Ktpfcdfflr '

Men. Fund Act —

_ Man, Fa. Ini —

Prop- Fund Inc.

Proa. Fi Acc

Prop. Fd. irtL

Prop. Fi lirv

Fnedlil!.FA Inc.

Fixed Im. fd. Co.

FMFtffia.Fiii.Acc.

Fixed InL Fd. Irt —

Der- ■ d-try-

01-6211124

01-6800606
+03 —
+14 -
+ 7J —
+7.J —

+li -

+li —

-|S ”

-E5 —

1142.9. +flJj

Intonatianll
tap. Equ _

42 HaunMtdi London EC3A7AY
R. 51 Be Prop. Bond_| 23SJ

Property tawtfi Assur. Co.

Lean Hoes*, Croydon CR9 1LU.

taS b^

iiP^f

SSSfe""® 'las _

leemcd. Aiww _____

Interna ti onal Fd

Pro*. Growth Pension 4 AnartHw LM..

An wiher Ac. U&U87A JffJ|

lire. Fi Ut*

Pension FiUh. — ,

Com. Peta. Fd

Ore. Pns. Cap. UL_

Mma PcbsThI

Men. Pens. Cap. UL-

Prop.Fm.Fi

Prao.Pens.Ca.Uts.

Bldg. Sue. Pea UL_

Gifts Pm Fi Cap. -
Equity Pm. Ft}.—

EflUity Pens. Fi Can... — . - .. .

prevHenoe Cspttel Life ftuc. Ca. Ltd.

30 Uxbridge R»iW128PG. 01-7499111

. <

— Dep Fi Arc ©8

— DeaFdlnir^.. l(W6

— U.K. Wj Fd. Inc _ 137 J

. .Er»'l‘7Fd.
UXEanteiFiCw.

U.K. EguF/ Fd. Acc
U.K. FjwnyFi lnt_.b5M|
lift. EouBy Fd. Ir.: . 3

InL Encfty Fd. CSB--' "

InL Equdy Fd. Ael._
lift. EenrtvFa InL —

Res. Plan As. Pen —

BeL Pbn Cw. Pen...

Man. ten. Fd. Acc —

Moa Pro. Fi Cep. _R«.o
Gill Pro. Fd. Acc— -
Gift Pen Fd Cep - — !

Prop, tea Fd. A«. -
taw. Pw-FiCw —

Guar. Pea Fi Acc.-
Gar. Pro. Fd. Ca- ,

SteriltO Fi-nd — J

U.S. DnHar Fund — .

5wiss France Fund. _

— DroUche KarY Fired.

— Yen m

5M1

<7.t

I57 5 -211

^ -

w

+131 -

+2.4

+L2

*2S

+16

I InL Fd.

! Rfinoey Fi -1)16.?

Sprciai Mtn Fi 1

IndPmFrit-lnUfcc-

■n(nl. Acc

lnd.Pens.lntrt-Acc._iBB.* —

Magged Fi Acc. diti ...

mrt Prra.H»iF^ct .157.0 w lj „..

*3 da<tf> IWtj raiglB-^ft 911L
ftniMM Life Aswnnn Ca. LhL
22S. Btdisptpri^ EC2-
Fd. ~

TramMqntatlaeGsl Ufe Ibl Co. Uft
55-57. HWi Hrttren, WCI V 60(>. 01-831 7481

■ » w. Fd _..n».9 —

CendyFd. _.[yj 4

aenciS M-nrey ra .

Series 2 cr was. Fi ..

Tulip ln»r*L Fd

Tulip Managed Fd. ._

Manged lire. Fd. InL
Itowd ln», Fi Acc .

Man. Pro. Fi Cap.

Maa Fea Fd. Acc— 1217.3

TrWeat life Assurance Co. Uit

t ronton foati, Gtoutesler.

Mtmerad B59.2

GldL Mqd fltfl 7

Property 1238.0

+16
334 Sj +0.7
115 g +0.7
is.g +B.4
137-H+0.7 —

Si

135.7

m

228.7

— Am rnun ....

— international

— Fiscal

— Growth Cap..

GrowihAec 1 .

Pros. Equity Ace 160.4

Pwo Muqd.Au-

Pm Gift Edged Acc. _ .

Prov.Glil.CteM«._. 162 2

Pens. Ptjr. Acc .

Tri Imi, Bend *b A

MV Fund Rs.4

045236541
T67.71 -t?a —
i7si -at —

S$:S z

lif i zbl z

139 3 -a* —
i/ll ...... — >

229*1 -li _
269.3 -0.7 —
36L3 ._.. -

1S7J _

16? 1 —

lte > -... —

XJ6.5 ...... _

1/02 —

^ ::::: z

iooi +oa -

01-2*76533 TjnWI A5swanto/pgm|aHsla)ih)ie)

Managed
Cash Fd

Gift Fund W.

Property Fuw

SKfci

Managed Pens. Act.
Deo«ii Pens, Acc —

18, Cauyngc Ibid, Brntnl.

■— 3-War

_ On. Pens..,

tt

— rroperty.

— Ownras Im.
UKIm.,

.Pens. Act.-.

Equtty Pens. Act.—.

For Capital lint wi. - . . ..

PnritntaJ Petijfeas United

Kaftpm Ben. ECZN2NH,

Fixed li Wet 16 — L« ...
Prog. Fd.Det 16 — «
Refuge IneAenb LtattH)
303 Oxford St, Mancheder

Managcd .W.9

Pnmrty.— .199J
RdboGE Mutual
Tortxidc* Writs, KrnL

Prte^t ring Ol-W 6533.

BSSten.jw '

F quit? Pea...

BnriPco.

m =

■ 274.0

16 U
175J
12L0
206.1
1694
256-2

02-4059222

Prop- tea-
Dep- Pen —

0272732241

Z182

U9.8

2052

M. 6. TyntB and Co. (Jersey) Ltd.

PO Box 42b, SL Hnltpr, Jeney, C.l.

OrUC -|u3mn ' —.4 —

-rti Venhrugh Life Assurance
P6*-Z369432 41-43 MjddwSL. Wn-WlRSU.

03 -W 4923

15/./-

2140 -3.21 —

]«|+Si z
Hi =

i*Ui) -

IreLtea.

Ini Pro. So. idmla

_ Price) M Dpt. 4O. Next
Group Pensor

Family fenrace Society
(Set PUericd Barings Sraop)

Assfewadoni fiEWETOU S*A.

137, FmteHCh SL, EC3M 50Y. 0148307-0

Inn. Managed Bond- [130-4 137 -...J —

Fixer/ Interest —

as£ 1-

RotfsetlHd Asset Motagemenf
El SwttMns Lane, London EC4, 01-626 4356

N.C. Prop. flTS.4 184.4| .1 -

tela*, ptned Deoc«ftr 32/Jmaty M.
ffejniTRScram Graog .

Here HaH Place, Unroot. 051-227 4<22

tealShWiFiL BOB* 220.7] -0J| -

Sm ft Prosper Gro up

Vanbrugh Pensions United
41-43, Maddm SL, Ufa, W1R9LA
Mnsaed R53* '

01-4994923

Fixed interest L34.I

Pityrerty- ISdLj

Index Urit*} Gdt m

Guaramred

1475

Wettaie insuraaee Co. lid.

,. 4,Gl5lHc1«o.V L pdiL. EC3P3EP. . 01-5548899 W-"!tad» P«6. Exritr.

Lain jure

EnetyiP.) !

Fixed im.(P.X

SSSlffil--.

Mixed (P.)

Indexed Suck (P.)..

“"ta m -

E

Si 7

IBZ^+OZ —

ik|hj =

RaL Im. Fd ;

PraprrtyfH.*

SlSSiWt™— I

Man. Pom. Fd [

^ ' ~ Sftrd

EoutevPeiD-J _
PTOoiPens.Fi*

Prop.

Gin Pros- Fd.

Cepos.Fens.Fd-f ;

Meneymafcrr Fd..— ..|
For «hw twris,^grW

wa

tter (4

ire Gran.

0398-52155

T^ Lindm &

WMjpr Ufe Assor. Co. Ltd.
feral Afcrrt Hoc, Shrri SL, Wtnfcar 641 41

*Prm on Dereoto- 30.
IWeeUy Dcaleo.

Invr-lor Units

Aram. ten.UnBL—

Flex. Ira. Orowih„,
Fiduro Assd Growth .
teL A^d Pea -

105.4 110,4

m m

1

!lll

iMi »McfrW

HR1!

in

ft £8 &£

3jJ 18! 63 215 33

49J 3-51 5.? »

■ a a 137 S 8

ECS 2&S 15

£0 33\«

L« &\223 123 53

C2 - 265 ltt

-1 _ m 133

H li 1 !? 5 163
45 AZ 54 g |

li as $ ^

u uB Jg jg

3 32 20%

h 7.2152 .g ^

r aic = £ &

Wlft - K 2

3 8 24 1*2 § £

8.8 8JZ32 f? S

“HT = Sa

« 233 169

mm $*|

a dm 1 g

L2U.W197) e n u
£ 2*
— I — • — 146 3?

19 10

128 re

40 22%

55 261;

166 133
137 92

*101 521*
184 130
52 33

32 17

30% 12
77 51

65 40

38
26
38

24
30

76

□25
38
48
290

99
130

27
43
%

77
215

47

28
65

183

95 140
200 32

24 I 11

?.« 54 I? 44

M 118 T47 »

« « tE s

66 I 44
62

a a

192 126
64 32

120 43

33 22

60 231

Corporate Currency Risk

by J. A. Donaldson

CORPORATECURRENCY RISK is an authoritative manual on foreign
exchange management-

Written specifically for the corporate treasurer and finance manager this
report will help you in seven ways.

* understand how the foreign exchange market works.

* avoid unnecessary foreign exchange risk.

•jg negotiate more advantageous foreign contracts.

* reduce the cost, of forward cover.

ie safeguard your company against fraud and raisappropnation-
< sfe identify and quantity exposure.

■fe improve the quality of your exchange rate forecasting.

Order your copy of CORPORATE CURRENCY RISK now.

ORDER FORM

1 Please return to: Marketing Department. The Financial Times Business
Information Ltd. , Bracken House, 10 Cannon Street, London EC4P4BY.

1 Please send me copy/ copies of CORPORATE CURRENCY RISK.

| Single copies £18.50 UK/SUS45 (overseas] ind. p&p. Subsequent copies
» at E9.95/SUS24.

* Cheques should be made payable to “Business Information”

1 /

1 ALL ORDERS TO BE ACCOMPANIED BY PAYMENT

£10 1M pair Mil 1?0 .... 94.2 I 3. a 3.21 (UD

250 HR Amslttrf 230 -3 d3.95 5.3 25 Uj4

till 2 s.g (MUM S

8(1 27 BSRlQs 77 -1 Z05 — 0.9i -

78 1? M&H-racc.lG, 23 TlO _ ft* _

154 50 BcnK_ 23 E.3K94I

aw 146 Bowllutw lOp. 186 t.1% 3 9 2 3|l4.5

.2? Wswi*A'5p.... 54 +2 L35 0 6

2?4 191 bHs«j Whaler S4i 208 -4 1* 3 2.0 4 3MS *1?

49 /6 flMqbrWMEIK.. 96 -I b3.7 22 5 3 9.7

'41 17 ChiorMp Grp Z7 ... — _ — I _

58 15 Concord Rm? 10p 54 620 ZZ 5.3112.5

*94 5« CrvitolnwSB.... 7firf 1.75'
93 55 Dale Elect. life 58 }.. . . 425

3.3112.5 *2

8 iBjwlwfA’Mp II BJ5 I 07.1 2 . 0 ) -

31 22 Owd-ngfiRUOp Z7 .... 1.6S jj

£6 15 CreamUna 10p. ZZ +1 12 15| 7.8}fVfl if

58 39 DuMHctSji.™. Stad L55 * 3.9 A V n

Ml *15 S Kft “?* 5 ^P- 15® -5 61.95 3.9 L9 19.2 S

56 3? DKiramc Marti . 40-2 U S

120 80 0ccl.R7nt*.15p 86 4 31 U 7.2 JUT)

If?, 1® Ene’sUqMJng 12S 6.75 24 7 7161)

,s2 Ew«vSc^ lOp 25U .. .. t0.75 3.1 4.2 94 l 2 * I |{

3W 230 EmtarnlaiOg. 265 -S d«5 28 2.416.6 J5

hi El»c. S4Z -1 152 47* L4 22.2 “

25 Ifidclity Rad. life.] 50

■ 9| frFeedtw* MJp 105 I. .“..Iw.O 5!o] ?ffl21.4| HI .59

425 FciwnliSO^ ttMj ... . 165 I 5.4j 1 s]l3.1 ^ ^

* p-— «— - — ~ n? _ m _ « 15

88
31
67
*186
460 288
154 110

134 a

255 170
15% 7

103 88

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30

FINANCIAL TIMES

' j ' .

if Wednesday January 6 1982

f - —

For fnfl details on land,
building and

Skelmersdale (0695) 32323.

Money supply

BY DAVID MARSH

THE GOVERNMENT was
attempting to draw comfort last
night from the announcement
that sterling M3, the broad
measure of the money supply,
last month grew by only 0.25
per cent the smallest rise for
more than a year.

Prospects for Interest rate
cuts remain clouded. U.S.
interest nates rose again yester-
day after Monday's publication

of worse-than-expected Ameri-
can money supply figures,
which now have a fax bigger
Impact than the UK statistics
on City financial markets.

Sterling reacted to higher
dollar interest Tates by falling
$1.4 cents during the day in
London, where it closed at
$1.9125. However, it held its
own against other currencies
and finished slightly higher
according to its Bank of
England index at 91.4, against
91.3 on Monday.

A significant factor behind
general interest rates pessimism
was the prediction on Monday
by Dr Henry Kaufman of
Salomon Bros that U.S. interest
rates will be hack up again
before mid-1 982.

'Although the UK money
supply figures were better than
expected, the London gilt-edged
market finished lower. Long-
dated stocks were down £1,
although they recovered from
earlier losses of £1.

The Government's 6 to 10 per
cent target raj* for monetary
growth is still expected to he

exceeded substantially by the

end of the financial year. White-
hall officials last night were
cautiously predicting an out-
turn of 13 to 14 per cent
somewhat lower than some
pessimistic forecasters had
thought.

Apart from the influence of
dollar interest rates, tW'O other
factors are dampening the
outlook for an easing of UK
credit costs.

• Private sector borrowing
from the banks, although well
down from Novembers record
level, still appeared, to be
growing last month af an
uncomfortably high rate.

Additionally, heavy flows of
funds to the Exchequer, caused
not only by Hhe stert of the
traditional tax-gathering season
but also by buck-payments

rises 0.25%

of tax delayed by the civiT
servants’ strike, are putting
strains on short-term liquidity,
in the London money markets.

The rise of 0.25 per cent in
sterling M3 last mooth —
seasonally adjusted, for (he
three-week banking month -to
December 9— was given yester-
day as a provisional figure by
the Bank of England. The final
figure will be published next
week.

Along with the 0J5 per cent'
increase in November, last
month's rise marked only the
second monthly gain of less
than 1 per cent during (he
Whole of 1981.

The small increase was due
mainly to large cash flows to
the Treasury, which heavily
reduced the need for govern-
ment borrowing. The Bank said
yesterday that a further £lbn of
delayed taxes were paid to the
Exchequer during the banking
month, although still ■ £3.5bn
remained outstanding as of mid-
December.

High credit demand from the
private sector however con-
tinues . ot represent an expan-
sionary influence. Private bank

borrowing is thought to have
totalled more than £lbn last
month, down from £2fi8bn in
November but still higher than
the Government would like.

The London clearing banks in
their monthly statement said
yesterday -that their sterling
advances to the private sector
were broadly flat last month.

The banks said lending for
mortgage finance — which has
led the recent spurt in private
credit— grew again last month.

The combination of slacker
monetary growth last month
and statistical changes had led
to a reduction in the overall
increase of sterling M3.

At an annualised rate since
the Government's latest target
period started in February,
monetary growth in - the 10
months to December was down
to around 15.5 per cent against
17.7 per cent— before the statis-
tical. changes— in the nine
months to November.

Gold and currency reserves
down, Page 6;

Editorial Comment, Page 12;

UJS. interest rates volatile.
Page 4

McDonnell
Douglas
calls DC-10
meeting

By Paul Betts In New York

McDonnell douglas. the
U.S. aerospace company, is to
meet the 45 users of its DC-10
-vsidefeodied commercial aircraft
next week to discuss possible
changes aimed at improving the
aircraft's wing-slat system.

This system, working flaps in
the rear of an aircraft wing,
operates §n conjunction with
the leading edge flaps at the
front of the wing and is crucial
during take-off and 'landing.

The January 14 meeting at
the company's Long Beach,
California, headquarters will
discuss tiie findings of an inves-
tigation by the company and
the U.S. National Transporta-
tion Safety Board into an acci-
dent involving an Air Florida
DC-10 in Miami last September
when an engine disintegrated.

No one was hurt but the
accident and the investigation
have been yet another setback
for McDonnell Douglas's wide-
bodied aircraft.

Demand for the aircraft has
fallen sharply since the crash of
an American Airlines DC-10 at
O'Hare international airport in
Chicago Qfi. May 25 1979 in.
which 273 people were killed.
The crash was the worst
disaster in U.S. aviation history.

In the Miami accident, an
engine disintegrated during take
off, damaging part of the
system of moving parts in
the wing. A similar failure
apparently happened at Chicago
when an engine broke from its
wing mounting soon after take
off,

McDonnell Douglas confirmed,
yesterday that the company hart'
called the meeting for next
week. It said this was not an
juncommon action. Manufacturers
regularly considered changes
and updates to aircraft.

The meeting, however, comes
at a difficult time for the crjm-
pany whose DC-18 order book
has also been hit by the d amp
in the airline industry. The
U.S. Government has dealt the
company another blow by indi-
cating that it plans to tetreoinate
tbe KC-10 programme, a military
version of the DC-10.

The • government proposal
could still be reversed by the
U.S. congress, but McDonnell
Douglas has warned that if the
programme were scrapped, the
company would consider ending
DC-10 production.

Continued from Page 1

‘Wets’ aim

from some ministers to drop
the proposals for savings on
unemployment and short-term
supplementary benefits. This
looks likely to be successful.

Treasury Ministers are likely
to stress the need* to contain
public sector borrowing if
economic recovery is to be sus-
tained and if interest rates are
to be cut While these factors
will limit the room for
manoeuvre, the Treasury's pro-
jections in Its December state-
ment indicated that there might
be some scope for tax cuts,
though not on the scale desired
by the - wets.”

Treasury forecasts are
already being prepared and
they are un3ik«ly to differ sig-
nificantly from those pui bished
just over a. month ago. A com-
plicating factor is that there is
likely to be considerable un-
certainty afbout the pay outlook,
especially in the public sector,
until after the Budget.

But. there are unlikely to be
any of the major headaches of
last year when projections of
borrowing were revised up-
wards by several billion
pounds in the run-up to the
Budget.

Arabs seek action against U.S.

BY OUR FOREIGN STAFF

ARAB PRESSURE for direct
action against tfie U.S. mounted
yesterday as fit became clear
that Washington would veto a
United Nations Security Coun-
cil resolution calling for sanc-
tions against Israel over its
annexation of the Golan
Heights.

The 15 members of the
Security Council have begun
informal consultations on the
“ appropriate measures ” which
the council said should be
taken if Israel did not abide
by the December 17 resolution
demanding that the annexation
declaration he rescinded.

The deadline set by tbe
Security Council passed yester-
day. Israel is confident that the
U.S. wiH black a resolution
proposed by Syria p-aHinp for
sanctions.

Syrian newspapers said a
U.S. veto would seriously
damage its relations with Arab
countries. By going to the
Security Council, Syria was
giving the International com-
munity “ another chance to

look closely at Israel's long
record of aggression.”

In Lebanon more extreme
newspaper editorials described
a possible U.S. veto as “the
bullet” which kills Washington's
relations with them.

The Saudi Arabian newspaper
Al-Riyadh said the U.S; and the
international community were
faced with two Choices: “ Either
to stand on the ride of justice
and peace, or snuff out any
moderate voice calling for a
peaceful solution.” This decision
could force “the entire Arab
nation to resort to other means
to recover its rights."

This theme was taken up in
Kuwait where leading news-
papers called openly for sanc-
tions against the U.S. if it used
its veto.

In Israel there has been little
anxiety over the outcome of the
Security Council debate. Re-
assured by Washington that the
UJS. would not support a vote
for sanctions, the Israealis
emphasised that they could live
with a resolution merely con-

demning the Golan annexation.

U.S. diplomats in Tel Aviv
said that despite the Reagan
Administration’s anger at the
Israeli action, it was wary of
putting too much pressure on
Mr Meuahem Begin Israeli’s
Prime Minister, in case he
responded by baiting the with-
drawal from Sinai.

The U.S. attitude during tbe
Security Council debate is
likely to have an important
impact on the future of Saudi
Arabia’s eight-point peace plan
for the Middle East ,

A U.S. veto at the UN would
boost radical Arab opinion,
which has opposed the Saudi
initiative, and given weight to
Syria’s attempts to reconvene
last November’s abortive Arab
summit, with the emphasis
switched to confrontation with
Israel.

The White House announced
yesterday that President
Mubarak, of Egypt would visit
President Reagan on February
3.

Unions to warn Labour on funds

BY lOHN LLOYD, LABOUR CO

TBE TRADE unions will today
make is clear to the Labour
party tjiat the historic alliance
between them — and the cash
lifdune which the unions pro-
vide — depends on an immediate
end to the battles between party
factions.

In doing so they will effec-
tively end my ambitions Mr
Tony Benn still has to stand
again for the deputy leadership
against Mr Denis Healey.

Mr David Basnett, chairman
of Trade Unions for a Labour
Viotory — the organisation
which called the meeting yes-
terday and today between the
unroii leaders and senior mem-
bers of the party’s National
trade union movement cannot
Commattee at Bishops Stanford,

Herts — said last night : “ The
tolerate a situation where we
do not have an effective opposi-
tion or an alternative govern-
ment available.”

• Mr Basnett said the unions
would bring up the issue of
(he deputy leadership contest
at todya’s discussions.

Mrs Judith Hart, the party
chairman, said: “ I think we are
at the print of reaching a new
basis of consolidation to fight
the Tories and the SDP and to
dedidcatlng ourselves to win the
next election." .

The unions and party leaders
last night sketched out a new
basis for the party’s parlous
finances. Earlier, tbe unions
who met separately from the
party leaders, had discussed
raising (he levy paid by indi-

vidual members to their unions’
political fanyis, from an average
of Ip a week to as much as 5p
— though such a rise would be
over a long period. It is more
likely to be doubled in the
near future.

The unions will also call for
the appointment of a director
of finance for tbe party and for
more stringent control of party
expenditure.

A background paper prepared
for the Bishops Stanford meet-
ing said the party’s overdraft
had risen nearly ten fold to
£461,000 in the past year and
that the general election fund
was at its lowest for a decade.

It calculated that the party
needs £3m to fight the next
election but is at present un-
likely to gather as much as £2m.

Alliance to resume bargaining

BY PETER RIDDELL, POLITICAL EDITOR

THE Social Democrats and the
Liberals hope to resume nego-
tiations later this week over the
allocation of parliamentary
seats between the parties
following the suspension of
talks last weekend. ' But some
key local difficulties remain.

Mr David Steel, tbe Liberal
leader, and Mr Bill Rodgers,
one of the SDFs collective
leadership, yesterday met over
lunch to defftse what was
becoming an increasingly em-
barrassing row which was being
taken up by Labour and Tory
MPs to attack the Alliance.

Mr Steel and Mr Rodgers
agreed that new procedures
should be established to prevent
■ future flare-ups over the distri-

bution of seats between local
negotiators. At Mr Rodgers’
suggestion, two “ firemen ” have
been appointed to keep abreast
with detailed negotiations and.
if necessary, to solve local
problems. They are Mr David
Penhaligon for the Liberals and
Mr John Horam for tbe SDP.

After lunch, Mr Rodgers said
he believed “ the problems can
be solved though it will not be
plain sailing ” He stressed the
SUP’S commitment to the
Alliance. Separate negotiating
teams of each party will meet
today to discuss yesterday’s
concordat before a joint meet-
ing tomorrow which is expected
formally to restart negotiations.

Both sides hope that, now the

problems have been brought
out Into the open, it will be
possible to inject more energy
and goodwill into the talks.
Both have too much at stake
electoral ly to risk undermining
tbe Alliance. But the episode
has shown some of the frustra-
tions. and the differences of
style and structure between the
parties.

A number of serious difficul-
ties remain. In particular, there
appears to be agreement, at
least nationally, that a ring
fence should be drawn around
Greenock where local Liberals
are challenging Mr Dickson
Mabon, the sitting SDP
member.

Mexican oil price Continued from Page 1

another producer of very heavy
crude, announced price cuts on
Us various heavy grades ranging-
from 29 to 90 cents a (barrel.

Mexico, which is . not an
OPEC member, has become a
growing force in the inter-
na tional oil market Its exports
have contributed to the weaken-
ing of OPEC’s position and tbe
general reduction in world oil
prices over recent months.
Industry analysts said yesterday
that with little growth in
demand expected during the
coming 12 months, further
price cutting might occur,
particularly by producers of
crudes at the lighter and
heavier extremes.

Widely-quoted industry stati-
stics just published by the
magazine Oil and Gas Journal
show that as a result of the
economic recession and con-
servation practices, world oil
production last year fell by the
greatest extent in the industry’s
history. World output fell 6 per
cent or by 3.57m barrels a day
to 55.9m b/d last year compared
with 1980.

OPEC members other than
Saudi Arabia faced a S&3 per
cent decline in their production
levels in 1981 compared with
1989. Overall, OPEC production
dropped in 1981 by 16.9 per
cent to 22.35m b/d compared
with 26.88m b/d in the previous

year. Four years ago, OPEC was
producing over 31m b/d.

William CfrisJett writes from
Mexico City: Mexico is export-
ing about 1.3m b/d and is
forecast on present performance
to earn about SITbn (£8.9bn)
from oil exports this year.

The price of Mexico's oil is
a highly nationalistic issue. The
last price reduction, jn June,
provoked a furioos political
storm and Sr Jorge Diaz
Serrano, director of Pemex.
was forced to resign. He
Teduced the price of Isthmus
oil by $4 a barrel. When Pemex
mounted an unsuccessful action
to push the price $2 a barrel
higher,, oil companies reduced
their purchases.

Greece ‘not
bound’
b y EEC
declaration

By Yictor Walker in Athens

THE GREEK GOVERNMENT
announced last night that it
would not be bound by a
European Community declara-
tion which condemned, the
military takeover in Poland
and the Soviet Union for
backing Warsaw, and which
warned of possible economic
sanctions.

The statement followed the
summary and public sacking
In a television news bulletin
at midnight on Monday of
Mr AssimaMs Fotilas, deputy
Foreign Minister, who signed
the declaration earlier in the
day in Brussels on behalf of
Greece. . .

41 He had failed to obey
orders given to him,” the
Government said yesterday
but refused to explain
further.

Mr Fotilas made no state-
ment on his return to Athens.

During Monday’s meeting
of EEC ministers Mr Fotilas
had helped to block a plan
to send a special envoy to
Warsaw and Moscow and held
out against suggestions of
economic sanctions against
the Soviet Union.

He attended the meeting in
place of Mr loannis HaraJam-
bopoulos, his Foreign Minis-
ter.

His dismissal was announced
on television but there was
no official press statement
and it was not known if the
minister himself was told
The Greek Government
had, until Monday's meet-
ing, refused to join in any
condemnation of events in
Poland, restricting itself to an
expression of 44 grave concern
and grief.”

Dr Andreas Papandreon,
the Prime Minister, ftas
promised to make his
socialist Government's view
plain in a parliamentary

debate on Poland expected
to begin next week.

By his Instant dismissal of
Mr Fotilas without allowing
him first to return to Athens
and resign. Dr Papandreon
appears to have given a clear
warning to any other minis.
tens who might be tempted to
use their own Initiative in
EEC discussions.

He has also shown once
again that be is unhappy
with Greece's membership of
the Community
Editorial comment Page 12

UK TODAY

COLD EASTERLY air will
bring snow showers, heavy and
prolonged in (the East. Rain in
southern England and Wales
will turn to snow ahead of
brighter weather.

London, S. England, the
Midlands, S. Wales
Outbreaks of rain, turning -to
snow but becoming brighter
with strong NJS. wind. Max.
5C (41FJ.

S.W. England, Channel Isles
Cloudy with rain at times and
snow on (high ground. Max.
10C (50F).

N. and NJ3. England, N. Wales
Snow showers with some
(longer outbreaks. Wind strong
to moderate easterly. Max.
3C (37F).

Scotland, the Highlands
Show showers with some
drifting and strong to gale
force N.E. wind. Max ic
(34F).

S.W. Scotland, N. Ireland
Scattered snow showers and
sunny periods. Wind strong
decreasing -to moderate. Mav.
2C (36FJ.

Outlook: Very cold with long
outbreaks of rain or snow.

WORLDWIDE

Vdoy ]

■isbon

midday

4>camo

F

2

36

■c

•F.

London

R

10

50

Y’day.

L Ang.t

R

8

4B

midday

Uixmbg.

8

8

46

"C

F

Luxor

s

19

66

Ajaccio C

12

54 \

Madrid

c

8

46

Algiers S

18

64

Majorca

C

18

64

A ms dm. C

10

SO

Malaga

S

20

68

Athens 5

15

59

Mails

c

16

61

Bahrain

—

—

Melbne.

Barctoa. S

15

59

M'chatr.

R

9

48

Beirut R

10

50

Mx. C.t

Belfast C

5

41

Miamit

_

_

Belgrd. S

.11

52

MM an

C

6

43

Bariin R

9

48

Morml.t Sir

-2

28

Biarritz F

19

66

Moacow S*.

-15

5

Bmghm. C

9

48

Munich

c

7

45

Blacfcp).

—

—

Nairobi

F

25

77

Bordx. C

14

57

Naples

R

10

SO

Botdgn. R

9

48

Vangau

Bristol R

9

48

Iwesrt.

SI

2

36

Brussels C

10

SO

* vorkt.

C

3

37

BudpM. C

8

46

lice

F

14

57

Cam F

15

'59

Nicosia

C

17

53

CflFdiff R

9

48

3 porto

c-

IB

61

Cas'b'ca F

20

68

]&lo

S- 17

1

Cape T.

—

—

Paris

R

Hi

52

Chicfl.t C-10

14

Perth

C

2V

70

Cologne C

10

so

Pronuo

f

9

48

Cpnhgn, C-

-10

14

Reykivk. S -

-13

3

Cortu F,

15

59

Rhodes

s

16

61

Denvcrt

—

—

Bfo J'o

Dublin C

a

48

Romo

c

15

59

Dbnmk. F

it

52

Saizbra.

f?

5

41

Ednbgh. C

i

34

S F'eisct C

8

46

Faro C

15

59

S. Moritz

Florence R

10

SO

Singapr.

_

Frank Ft. C

10

50

5'bagot

Funchal C

21

70

5tckhm Sn-12

10

Geneva C

9

48

Straobg.

R

10

50

Grbrattar S

19

66

Sydney

Gl’sgow Sn

1

34'

rangier

s

19

68

5'msey R

11

52

Tel Rviv

R

15

59

H‘telr»kr Sn—16

3

Toner Ho

8

32

72

rl. Kong F

19

66

Tokyo

C

15

59

Innsbrk. Fg

1

34

froniot

F"

-6

21

kivmsa. F ■

i-1.

30

i Tunis

C

18

64

l.o. Mon C

8

48

/oiencln

s

IS

64

Istanbul F

11

62

r amca

■F

6

43

Jersey C

11

52

'jenna

C

10

50

la' burg

—

—

Varuw

C

8

46

_ Pirns. S

23

73

Zurich

C

9

48

c— Ctaudy. F— Fair. Fg— F oq. H —
R— Rmn. S — Sunny. Si— Slaet.
Sn— Snow. T — Thunder,

t Noon ,OMT taungorature.

the lex column

The new improved
money figures

Having been over-optimistic
about the money figures for
banking November, the gilt-
edged market was unnecessarily
gloomy about the prospects for
the short (only three weeks)
and often unrepresentative
December banking' month. The
rise in sterling M3 turns out
to have been a perfectly accept-
able i per cent, while the clear-
ing banks' advances were un-
changed on a seasonally
adjusted basis.

But the clearing banks’
experience is not a fair reflec-
tion of private sector credit
demand. Total bank lending to
tbe private sector seems to have
been roughly fljbn — half the
record November level but still
high — of which £600m is
accounted for by an increase in
the Bank of England’s holdings
of commerial bills. Some of this
must reflect the payment of an
extra £Ibn of tax held up by
the civil service strike, and
equivalent in itself to around
1} per cent of the money stock.

With bank lending continu-
ing at this rate it seems
unlikely that the December
figures will prompt any relaxa-
tion of official policy. Anyone
who is anxious for positive
encouragement should look at
the annualised figures for
monetary growth which are
favourably influenced- by the
inclusion of a number of deposit
takers, -ranging from the
Trustee Savings Banks „ to the
Assemblies of God Property
Trust whose balance sheets
have been growing less rapidly
overall than those of the mort-
gage-hungry clearers. So sterling
MS, up 17.7 per cent annualised
on the old basis in the nine
months to November, has
slowed to a 15J per cent growth
rate on the new series in the
ten months to December. An
application from Basque
Stagnante to join the "monetary
sector” is believed to be under
consideration at the highest
leveL

The gilt-edged market
managed a feeble rally on
the figures, so that losses on
the day were reduced to half a
point But the fear of- an

Index fell 42 to 518.1

upward twist in U.S. interest
rates is a more powerful influ-
ence than better-behaved British
money figures and a firm pound,
and yields on medium-dated
stocks are back to a wary 16S
per cent

RTZ/Ward

Thomas W. Ward is not
renowned for the speed with
which it produces figures, so
yesterday's detailed forecast for
the full year to September 1982
suggests an element of panic.
Ward failed to produce a full-
year forecast . at any stage
during last year's bid for;
Tunnel and '■ its 1981 figures,
hastened by the RTZ offer, have
been in only a month.

The forecast is certainly a
comprehensive and sturdily
argued document Precise
figures are given for all its
subsidiary- businesses, an awe-
some task in the case of engi-
neering or vehicle distribution.
Ward admittedly has some
latitude since £lm has been
allocated as a “general con-
tingency” and the impressive
list of 21 assumptions covers
almost every eventuality short
of nuclear fall-out

RTZ has been doing the
rounds of institutional .share-
holders and Ward was obviously
worried that a higher offer
would win immediate accept-
ance. So it has put all its'
cards on tbe table in an ap-
parent attempt to flush out an
even higher price. Ward shares
responded yesterday with a
jump of 8p to 218p, where they
stand 28p above the. existing
RTZ cash offer. -

The latest document places'
considerably less emphasis on
the unsuitability of RTZ as a
bidder and more on the in-
adequacy of its offer. Ward will
receive no help from Tunnel
in defending itself, and it is.
having to tie itself in knots
to explain why Its Tunnel stake
is worth a lot more per share

than it was prepared to bid
for Tunnel last year. Ward now
looks'" to be directing its effor{s-
towdrds obtaining the best pos-
sible price for its shareholders.

03 sector

It is now more than tiro
months since the Opec meeting
at which the- Saudis r eg a ine d
control of the cartel and re-
established a unified oil pricing
structure. Demand has proved
extremely weak, and there seems
to have been little reduction in
the surpius of stocks, judging
by the faffing spot prices in
Rotterdam ami the re-emergence
of petrol price wars. On the
stock market, the oil sector,
which had enjoyed something of
a run in the autumn ahead of
the' meeting; has 1 subsequently
lost all its gains, falling more
than 6 per cent relative -to the
AR-Share. A further twist has
been added this week, with
Venezuela introducing an
average H a barrel cut in heavy
erode oil prices on Monday and
Mexico, slashing its very heavy
crude price’ by $2 yesterday to
$26.50.

But these cuts do not mean
that ; the oil price is about to j
go into a tail-spin. Two things
seem to be happening. ; Tbe ,
process of adjustings price dif- ;
ferentiris in the new circum-
stances Is taking some time.
Meanwhile, demand for the
heavier crudes— used mainly in
power generation — is particu-
larly slack due to coal and
nuclear substitution and . the
recession. So far it looks as
if tbe Saudis can cut produc-
tion enough to bring the over-
all market into balance —
eventually. But whereas until
recently this had been expected
in the . spring, how it looks as
if cbnditioQx will remain slack
until: the second halfl

So the oatJobfc fot -the oil
majors is not very encouraging,
although at least the ending of
the Aramco advantage has been
a positive influence for BP and.
Shell. Moreover, Shell is one
of the few majors with crack-
ing capacity to take advantage
of low "heavy crude prices.

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